Greenhouse Gas Pollution Pricing Act

An Act to mitigate climate change through the pan-Canadian application of pricing mechanisms to a broad set of greenhouse gas emission sources and to make consequential amendments to other Acts Preamble Whereas there is broad scientific consensus that anthropogenic greenhouse gas emissions contribute to global climate change; Whereas recent anthropogenic emissions of greenhouse gases are at the highest level in history and present an unprecedented risk to the environment, including its biological diversity, to human health and safety and to economic prosperity; Whereas impacts of climate change, such as coastal erosion, thawing permafrost, increases in heat waves, droughts and flooding, and related risks to critical infrastructures and food security are already being felt throughout Canada and are impacting Canadians, in particular the Indigenous peoples of Canada, low-income citizens and northern, coastal and remote communities; Whereas Parliament recognizes that it is the responsibility of the present generation to minimize impacts of climate change on future generations; Whereas the United Nations, Parliament and the scientific community have identified climate change as an international concern which cannot be contained within geographic boundaries; Whereas Canada has ratified the United Nations Framework Convention on Climate Change, done in New York on May 9, 1992, which entered into force in 1994, and the objective of that Convention is the stabilization of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system; Whereas Canada has also ratified the Paris Agreement, done in Paris on December 12, 2015, which entered into force in 2016, and the aims of that Agreement include holding the increase in the global average temperature to well below 2°C above pre-industrial levels and pursuing efforts to limit the temperature increase to 1.5°C above pre-industrial levels, recognizing that this would significantly reduce the risks and impacts of climate change; Whereas the Government of Canada is committed to achieving Canada’s Nationally Determined Contribution – and increasing it over time – under the Paris Agreement by taking comprehensive action to reduce emissions across all sectors of the economy, accelerate clean economic growth and build resilience to the impacts of climate change; Whereas it is recognized in the Pan-Canadian Framework on Clean Growth and Climate Change that climate change is a national problem that requires immediate action by all governments in Canada as well as by industry, non-governmental organizations and individual Canadians; Whereas greenhouse gas emissions pricing is a core element of the Pan-Canadian Framework on Clean Growth and Climate Change; Whereas behavioural change that leads to increased energy efficiency, to the use of cleaner energy, to the adoption of cleaner technologies and practices and to innovation is necessary for effective action against climate change; Whereas the pricing of greenhouse gas emissions on a basis that increases over time is an appropriate and efficient way to create incentives for that behavioural change; Whereas greenhouse gas emissions pricing reflects the “polluter pays” principle; Whereas some provinces are developing or have implemented greenhouse gas emissions pricing systems; Whereas the absence of greenhouse gas emissions pricing in some provinces and a lack of stringency in some provincial greenhouse gas emissions pricing systems could contribute to significant deleterious effects on the environment, including its biological diversity, on human health and safety and on economic prosperity; And whereas it is necessary to create a federal greenhouse gas emissions pricing scheme to ensure that, taking provincial greenhouse gas emissions pricing systems into account, greenhouse gas emissions pricing applies broadly in Canada; Now, therefore, Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows: Short title This Act may be cited as the Greenhouse Gas Pollution Pricing Act. Her Majesty This Act is binding on Her Majesty in right of Canada or a province. Definitions The following definitions apply in this Part, Part 1 of Schedule 1 and Schedule 2. adjustment day means any of commencement day, January 1, 2019, January 1, 2020, January 1, 2021, January 1, 2022 and any prescribed day or any day meeting prescribed conditions. (date d’ajustement) aircraft means any conveyance that is suitable for the transportation of individuals or goods by air. (aéronef) assessment means an assessment under this Part and includes a reassessment. (cotisation) aviation gasoline means a substance suitable for generating power by means of an aircraft engine other than a turbine. (essence d’aviation) aviation turbo fuel means a substance suitable for generating power by means of an aircraft engine that is a turbine. (carburéacteur) bank means a bank as defined in section 2 of the Bank Act or an authorized foreign bank, as defined in that section, that is not subject to the restrictions and requirements referred to in subsection 524(2) of that Act. (banque) biodiesel means a particular substance that is made up of mono-alkyl esters of long chain fatty acids derived entirely from biological matter available on a renewable or recurring basis, or made from plant or animal matter using a hydrogenation process, that may contain other substances, materials or things, that are not described in subparagraph (i) if the combined proportion of those other substances, materials or things does not exceed 1.5% of the particular substance, and that is suitable for generating power by means of a diesel engine or for use in a furnace, boiler or open flame burner when used on its own, after being blended with light fuel oil, or after being blended with a light fuel oil-like blendstock to produce light fuel oil; or a prescribed substance, material or thing. (biodiesel) biogasoline means that is derived entirely from biological matter available on a renewable or recurring basis, that may contain water if the proportion of the water does not exceed 1% of the particular substance, that may contain other substances, materials or things that are not described in subparagraph (i) or (ii) if the combined proportion of those other substances, materials or things does not exceed 6% of the particular substance, and that is suitable for generating power by means of an internal combustion engine other than a diesel engine when used after being blended with gasoline, or after being blended with a gasoline-like blendstock to produce gasoline; or a prescribed substance, material or thing. (bioessence) biomethane means a substance that is derived entirely from biological matter available on a renewable or recurring basis and that is primarily methane; or a prescribed substance, material or thing. (biométhane) coke means a solid carbonaceous residue that is derived from low-ash, low-sulfur bituminous coal from which the volatile constituents are driven off by baking in an oven with the result that the fixed carbon and residual ash are fused together; and is suitable as a source of energy. (coke) coke oven gas means gas that is recovered from the carbonization of coal at high temperatures in a coke oven for the production of coke and that is suitable as a source of energy. (gaz de four à coke) combustible waste means tires or asphalt shingles whether in whole or in part; or a prescribed substance, material or thing. (déchet combustible) commencement day means the earliest day on which any of sections 17 to 26 may apply in a listed province. (date de référence) Commissioner means, except in sections 95, 96 and 164 the Commissioner of Revenue appointed under section 25 of the Canada Revenue Agency Act. (commissaire) confirmed delivery service means certified or registered mail or any other delivery service that provides a record that a notice or document has been sent or delivered. (service de messagerie) covered air journey in respect of a listed province means a journey by aircraft that is from a particular location to another location, both of which are in the listed province; or a prescribed journey or a journey meeting prescribed conditions. (itinéraire aérien assujetti) covered facility means a facility or property that is a covered facility within the meaning of section 169 that is registered by the Minister of the Environment under section 171 other than a prescribed facility or property, a facility or property of a prescribed class or a facility or property meeting prescribed conditions; or a prescribed facility or property, a facility or property of a prescribed class or a facility or property meeting prescribed conditions. (installation assujettie) covered marine journey in respect of a listed province means a journey by vessel that is a prescribed journey or a journey meeting prescribed conditions. (itinéraire maritime assujetti) delivery in respect of fuel or in respect of a substance, material or thing includes, except in the definition confirmed delivery service and in Division 6, making the fuel, substance, material or thing available. (livraison) distribution system means a pipe or any system or arrangement of pipes for the delivery or distribution of marketable natural gas to ultimate consumers or users. (réseau de distribution) eligible farming activity means the operation of eligible farming machinery on a farm for the purposes of farming; the operation of eligible farming machinery for the purposes of going from a location at a farm to another location at a farm; or a prescribed activity. (activité agricole admissible) eligible farming machinery means property that is primarily used for the purposes of farming and that is a farm truck or a tractor; a vehicle not licensed to be operated on a public road; an industrial machine or a stationary or portable engine; or prescribed property; but does not include a vehicle that is an automobile as defined in subsection 248(1) of the Income Tax Act; property that is used for the purpose of providing heating or cooling to a building or similar structure; or prescribed property. (machinerie agricole admissible) eligible fishing activity means the operation of an eligible fishing vessel for the purposes of fishing or a prescribed activity. (activité de pêche admissible) eligible fishing vessel means property that is primarily used for the purposes of fishing and that is a fishing vessel or prescribed property, but does not include prescribed property. (navire de pêche admissible) excluded air journey means a journey by aircraft that begins or ends in a listed province other than a covered air journey, or a prescribed journey or a journey meeting prescribed conditions; or is a prescribed journey or a journey meeting prescribed conditions. (itinéraire aérien exclu) excluded marine journey means a journey by vessel that a covered marine journey, or is a prescribed journey or a journey meeting prescribed conditions. (itinéraire maritime exclu) farmer means a person that carries on a farming business with a reasonable expectation of profit. (agriculteur) farming includes tillage of the soil, livestock raising or exhibiting, maintaining of horses for racing, raising of poultry, fur farming, dairy farming, fruit growing and the keeping of bees, but does not include an office or employment under a person engaged in the business of farming. (agriculture) fisher means a person that carries on a fishing business with a reasonable expectation of profit. (pêcheur) fishing includes fishing for or catching shellfish, crustaceans and marine animals but does not include an office or employment under a person engaged in the business of fishing. (pêche) fuel means a substance, material or thing set out in column 2 of any table in Schedule 2, other than combustible waste, a substance, material or thing that is prepackaged in a factory sealed container of 10 L or less, or a prescribed substance, material or thing; and a prescribed substance, material or thing. (combustible) gas liquids means a mixture in gaseous or liquid form that consists of two or more of ethane, propane, butane or pentanes plus and that is separated, as a result of processing, from natural gas or crude oil for the first time; has not been analyzed to assess composition, or processed into separate identifiable fuels; and is not a mixture of ethane, propane, butane or pentanes plus created after the ethane, propane, butane or pentanes plus have been processed into separate identifiable fuels and subsequently remixed into a blend of one or more of the fuels. (liquides de gaz) gasoline means a substance, including biogasoline, that is suitable for generating power by means of an internal combustion engine other than a diesel engine and that is not any other type of fuel. (essence) heavy fuel oil means a substance that is not petroleum coke and that is made up of a distillate or a residual of crude oil and that has a viscosity greater than 14 centistokes at 50°C. (mazout lourd) high heat value coal means coal with a heating value exceeding 27,000 kJ/kg. (charbon à pouvoir calorifique supérieur) import means import into Canada. (importation) interjurisdictional air carrier in respect of a type of fuel means a person that, in the course of providing a commercial service of transporting individuals or goods by aircraft, uses fuel of that type, in the ordinary course of business, in excluded air journeys. (transporteur aérien entre administrations) interjurisdictional marine carrier in respect of a type of fuel means a person that, in the course of providing a commercial service of transporting individuals or goods by vessel, uses fuel of that type, in the ordinary course of business, in excluded marine journeys. (transporteur maritime entre administrations) interjurisdictional rail carrier in respect of a type of fuel means a person that uses fuel of that type, in the ordinary course of business, in a listed province in the course of providing a commercial service of transporting individuals or goods by rail from one province to another province; or between a place in Canada and a place outside Canada. (transporteur ferroviaire entre administrations) journey means the transportation of individuals or goods by aircraft or vessel from a particular location to another location where the aircraft or vessel is next stopped if any of the following activities occurs at the particular location and if any of the following activities occurs at the other location: individuals embark or disembark the aircraft or vessel; goods are loaded onto or removed from the aircraft or vessel; or the aircraft or vessel is stopped to allow for its servicing or refuelling or for emergency or safety purposes. (itinéraire) judge in respect of any matter, means a judge of a superior court having jurisdiction in the province in which the matter arises or a judge of the Federal Court. (juge) kerosene means a light petroleum distillate that meets the requirements of the National Standard of Canada CAN/CGSB-3.3, Kerosene, as amended from time to time, but does not include aviation turbo fuel. (kérosène) light fuel oil means a substance that is made up of a distillate or a residual of crude oil that has a viscosity not greater than 14 centistokes at 50°C, or biodiesel; is suitable for generating power by means of a diesel engine or is suitable for use in a furnace, boiler or open flame burner; and is not butane, ethane, gas liquids, aviation turbo fuel, kerosene, naphtha, propane, pentanes plus or still gas. (mazout léger) listed province means a province or area listed in Part 1 of Schedule 1. (province assujettie) locomotive includes self-propelled on-track railway equipment but does not include vehicles that are suitable for movement both on and off lines of railway. (locomotive) low heat value coal means coal with a heating value of 27,000 kJ/kg or less. (charbon à pouvoir calorifique inférieur) marketable natural gas means natural gas that consists of at least 90% methane and that meets the specifications for pipeline transport and sale for general distribution to the public. (gaz naturel commercialisable) methanol does not include methanol derived entirely from biological matter available on a renewable or recurring basis. (méthanol) Minister means the Minister of National Revenue. (ministre) mixture means a substance, material or thing that is a combination of two or more types of fuel. (mélange) naphtha means a refined or partially refined petroleum fraction with an approximate boiling temperature between 50°C and 204°C other than aviation gasoline, aviation turbo fuel, gasoline, heavy fuel oil, kerosene, light fuel oil or petroleum coke. (naphta) natural gas includes a combination of natural gas and biomethane but does not include still gas. (gaz naturel) net charge for a reporting period of a person means the amount determined for the reporting period of the person under subsection 71(2). (redevance nette) non-covered activity means an activity in respect of which fuel is used as a raw material in an industrial process that produces another fuel or another substance, material or thing, as a solvent or diluent in the production or transport of crude bitumen or another substance, material or thing, or in prescribed circumstances; and is not put into a fuel system that produces heat or energy and is not burned or flared. (activité non assujettie) non-marketable natural gas means natural gas other than marketable natural gas. (gaz naturel non commercialisable) officer means, except in sections 90, 138 and 160, a person who is appointed or employed in the administration or enforcement of this Part; and with respect to imported goods that have not been released under the Customs Act, an officer as defined in subsection 2(1) of that Act. (préposé) pentanes plus means a substance that is obtained from the production or processing of raw gas, condensate or crude oil, that is not any other type of fuel and that is pentane; hydrocarbons heavier than pentane; or a combination of pentane and heavier hydrocarbons. (pentanes plus) person means an individual, a partnership, a corporation, the estate or succession of a deceased individual, a trust, a joint venture, a government or a body that is a society, a union, a club, an association, a commission or another organization of any kind. (personne) personal representative of a deceased individual or the estate or succession of a deceased individual, means the executor of the individual’s will, the liquidator of the individual’s succession, the administrator of the estate or any person that is responsible under the appropriate law for the proper collection, administration, disposition and distribution of the assets of the estate or succession. (représentant personnel) petroleum coke includes a carbonaceous solid produced from an oil refinery coke unit or an oil or bitumen upgrader coker unit; a carbonaceous solid produced from a cracking process, including coking, fluid coking, flexicoking and delayed coking; or any substance commonly referred to as “green coke” or “fuel grade coke”. (coke de pétrole) prescribed means in the case of a form or the manner of filing a form, authorized by the Minister; in the case of the information to be given on or with a form, specified by the Minister; in the case of the manner of making or filing an election, authorized by the Minister; and in any other case, prescribed by regulation or determined in accordance with rules prescribed by regulation. (Version anglaise seulement) produce means, in respect of fuel, to obtain fuel or bring fuel into existence by any method or process including mining, extracting, removing or otherwise obtaining from the earth; manufacturing, synthesizing, refining or blending; or using any means of altering the chemical or physical properties of a substance, material or thing. (production) qualifying aviation fuel means a type of fuel that is aviation gasoline, aviation turbo fuel or a prescribed type of fuel. (combustible d’aviation admissible) qualifying farming fuel means a type of fuel that is gasoline, light fuel oil or a prescribed type of fuel. (combustible agricole admissible) qualifying fishing fuel means a type of fuel that is gasoline, light fuel oil or a prescribed type of fuel. (combustible de pêche admissible) qualifying marine fuel means a type of fuel that is heavy fuel oil, light fuel oil, marketable natural gas or a prescribed type of fuel. (combustible maritime admissible) qualifying motive fuel means a type of fuel that is gasoline, light fuel oil, marketable natural gas, propane or a prescribed type of fuel. (combustible moteur admissible) qualifying rail fuel means a type of fuel that is light fuel oil, marketable natural gas or a prescribed type of fuel. (combustible ferroviaire admissible) rate in respect of a type of fuel, or in respect of combustible waste, for a listed province at a particular time means unless paragraph (b) applies, the rate set out in column 5 of the table in Schedule 2 that is applicable for the period of time that includes the particular time and that is opposite that type of fuel or combustible waste, as the case may be, set out in column 2 of that table, and the name of that listed province set out in column 4 of that table; and if prescribed circumstances exist or prescribed conditions are met, the prescribed rate or the rate determined in prescribed manner that is applicable at the particular time for that listed province and for that type of fuel or combustible waste, as the case may be. (taux) record means any material on which representations, in any form, of information or concepts are recorded or marked and that is capable of being read or understood by a person or a computer system or other device. (registre) registered air carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as an air carrier in respect of that type of fuel. (transporteur aérien inscrit) registered distributor in respect of a type of fuel means a person that is registered under Division 4 of this Part as a distributor in respect of that type of fuel. (distributeur inscrit) registered emitter means a person that is registered under Division 4 of this Part as an emitter. (émetteur inscrit) registered importer in respect of a type of fuel means a person that is registered under Division 4 of this Part as an importer in respect of that type of fuel. (importateur inscrit) registered marine carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as a marine carrier in respect of that type of fuel. (transporteur maritime inscrit) registered rail carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as a rail carrier in respect of that type of fuel. (transporteur ferroviaire inscrit) registered road carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as a road carrier in respect of that type of fuel. (transporteur routier inscrit) registered specified air carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as a specified air carrier in respect of that type of fuel. (transporteur aérien désigné inscrit) registered specified marine carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as a specified marine carrier in respect of that type of fuel. (transporteur maritime désigné inscrit) registered specified rail carrier in respect of a type of fuel means a person that is registered under Division 4 of this Part as a specified rail carrier in respect of that type of fuel. (transporteur ferroviaire désigné inscrit) registered user in respect of a type of fuel or in respect of combustible waste means a person that is registered under Division 4 of this Part as a user in respect of that type of fuel or in respect of combustible waste. (utilisateur inscrit) reporting period of a person means the reporting period of the person as determined under section 68. (période de déclaration) specified commercial vehicle means a vehicle that is used to provide commercial transportation of individuals or goods by road from one province to another province, or from a particular location to another location if one location is in Canada and one location is outside Canada; that has two axles and a gross vehicle weight exceeding 11,797 kg, has three or more axles regardless of weight, or when combined with the trailer with which it is used, has a gross vehicle weight exceeding 11,797 kg; and that is not a recreational vehicle, including a motor home, bus or pickup truck with attached camper, if used solely for a particular individual’s personal use or enjoyment or the personal use or enjoyment of any other individual at the particular individual’s expense. (véhicule commercial désigné) still gas means gas suitable for use in an oil refinery that is produced as a result of distillation, cracking, reforming or other oil refining processes. (gaz de distillation) supply tank means a receptacle of a vehicle in which fuel is held for use in the operation of the vehicle; an auxiliary component of the vehicle; or an auxiliary component of another vehicle, if the other vehicle is attached to the vehicle. (réservoir d’alimentation) use includes flaring but does not include venting. (utilisation) vehicle means any conveyance that is suitable for the transportation of individuals or goods by water, land or air. (véhicule) vessel means any conveyance that is suitable for the transportation of individuals or goods by water. (navire) Meaning of administration or enforcement of this Part For greater certainty, a reference in this Part to the administration or enforcement of this Part includes the collection of any amount payable under this Part. Regulations under this Part For greater certainty, a reference to “this Part” in section 3, subsection 4(1) or sections 5 to 168 is to be read as a reference to “this Part or regulations made under this Part”. Covered facility of a person For the purposes of this Part, a covered facility is a covered facility of a person if a covered facility certificate in respect of the covered facility has been issued to the person by the Minister of the Environment under section 171; or the person is a prescribed person, a person of a prescribed class or a person meeting prescribed conditions in respect of the covered facility. Arm’s length For the purposes of this Part, related persons are deemed not to deal with each other at arm’s length; and it is a question of fact whether persons not related to each other are, at any particular time, dealing with each other at arm’s length. Related persons For the purposes of this Part, persons are related to each other if they are related persons within the meaning of subsection 6(2) of the Excise Act, 2001. Exclusive economic zone and continental shelf For greater certainty, an area, for the purposes of this Part, may include all or part of the exclusive economic zone of Canada or the continental shelf of Canada. Determining quantities — litres Unless any of subsections (5), (6) and (8) apply, for the purpose of determining a quantity of fuel of a certain type under this Part, if the rate in respect of that type of fuel is expressed in $/litre, the quantity of fuel is the number of litres that the fuel would occupy at 15°C. Determining quantities — cubic metres Unless subsection (7) or (8) applies, for the purpose of determining a quantity of fuel of a certain type under this Part, if the rate in respect of that type of fuel is expressed in $/cubic metre, the quantity of fuel is the number of cubic metres that the fuel would occupy at 15°C and 101.325 kPa. Determining quantities — coal Unless subsection (8) applies, for the purpose of determining a quantity of high heat value coal or low heat value coal under this Part, the quantity of coal is the weight of the coal measured in tonnes and normalized to 7.7% moisture by weight in the case of high heat value coal; or 19% moisture by weight in the case of low heat value coal. Determining quantities — coke Unless subsection (8) applies, for the purpose of determining a quantity of coke under this Part, the quantity of coke is the weight of the coke measured in tonnes and, if a moisture content is prescribed, normalized to the prescribed moisture content. Gasoline with proportion of biogasoline exceeding 10% Unless subsection (8) applies, if a quantity of gasoline contains a particular proportion of biogasoline (expressed as a percentage) that exceeds 10%, the quantity of gasoline is deemed, for the purpose of this Part, to be the number of litres determined by the formula is the number of litres that the gasoline would occupy at 15°C; and is the particular proportion. Light fuel oil with proportion of biodiesel exceeding 5% Unless subsection (8) applies, if a quantity of light fuel oil contains a particular proportion of biodiesel (expressed as a percentage) that exceeds 5%, the quantity of light fuel oil is deemed, for the purpose of this Part, to be the number of litres determined by the formula is the number of litres that the light fuel oil would occupy at 15°C; and Natural gas that contains biomethane Unless subsection (8) applies, if a quantity of marketable natural gas or non-marketable natural gas contains a particular proportion of biomethane (expressed as a percentage), for the purpose of this Part, the quantity of marketable natural gas or non-marketable natural gas is deemed to be the number of cubic metres determined by the formula is the number of cubic metres that the marketable natural gas or non-marketable natural gas would occupy at 15°C and 101.325 kPa; and Determining quantities — prescribed type of fuel For the purpose of determining a quantity under this Part of a prescribed type of fuel, the quantity of fuel of that type is determined in prescribed manner if prescribed conditions are met. Determining quantities Any determination of a quantity of fuel under this Part is to be made in a manner satisfactory to the Minister. Fuel brought into a listed province For the purposes of this Part, if a particular person is transporting fuel on behalf of another person and the fuel is, at a particular time, brought into a listed province in the course of being transported to a location in the listed province, the other person and not the particular person is deemed to have brought the fuel into the listed province at the particular time. Fuel removed from a listed province For the purposes of this Part, if a particular person is transporting fuel on behalf of another person and the fuel is, at a particular time, removed from a listed province in the course of being transported to a location outside the listed province, the other person and not the particular person is deemed to have removed the fuel from the listed province at the particular time. Fuel in transit through a listed province For the purposes of this Part, if a person at a particular time brings a quantity of fuel into a listed province from a place in Canada, if the fuel is being brought into the listed province in the course of the transportation of the fuel to a place outside the listed province, if the fuel is transported without being stored in the listed province (otherwise than in a manner that is solely incidental to the transportation) and if the person is a registered emitter or is registered under Division 4 of this Part in respect of that type of fuel otherwise than only as a road carrier, then the fuel is deemed not to have been brought into the listed province at the particular time. Fuel imported in a listed province For the purposes of this Part, if a person at a particular time imports a quantity of fuel at a location in a listed province, if the fuel is imported in the course of the transportation of the fuel to a place outside the listed province, if the fuel is transported without being stored in the listed province (otherwise than in a manner that is solely incidental to the transportation) and if the person is a registered emitter or is registered under Division 4 of this Part in respect of that type of fuel otherwise than only as a road carrier, then the fuel is deemed not to have been imported at a location in the listed province at the particular time. Importer For the purposes of this Part, the person that is considered to import fuel is the importer, owner or other person that is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff on the fuel or that would be liable to pay that duty on the fuel if the fuel were subject to that duty. Delivery of marketable natural gas — distribution system For the purposes of this Part, if marketable natural gas is delivered to a particular person by means of a distribution system, the person that is considered to deliver the marketable natural gas is unless paragraph (b) applies, the person that measures, on a regular basis and for the purpose of billing the particular person or providing the particular person’s billing information to a third party, the particular person’s consumption or usage of marketable natural gas that is delivered by means of the distribution system; or if prescribed circumstances exist or prescribed conditions are met, the person that is a prescribed person, a person of a prescribed class or a person meeting prescribed conditions. Substance marketed as fuel If a substance, material or thing is not fuel but is sold, represented or marketed as fuel of a particular type, the substance, material or thing is deemed, for the purposes of this Part, to be fuel of the particular type, except if the substance, material or thing is prepackaged in a factory sealed container of 10 L or less, is combustible waste or is a prescribed substance, material or thing. Mixtures A mixture is deemed to be fuel of the type that is present in the highest proportion in the mixture. Prescribed mixtures Despite subsection (1), if prescribed conditions are met in respect of a mixture, the mixture is deemed to be fuel of a prescribed type. Non-application This section does not apply to a substance, material or thing that would be fuel in the absence of subsections (1) and (2). [Repealed, 2026, c. 2, s. 14] Net fuel quantity — registered specified air or marine carrier The net fuel quantity of a person that is a registered specified air carrier or registered specified marine carrier in respect of a type of fuel for a reporting period of the person, for that type of fuel and for a listed province is the amount determined by the formula is the total of all quantities, each of which is a quantity of fuel of that type that is (a)used by the person in the listed province during the reporting period other than a quantity of fuel of that type used in the listed province(i)in a journey by aircraft or vessel, in a locomotive or in a specified commercial vehicle, or(ii)in a non-covered activity if the person is a registered user in respect of that type of fuel, used by the person in the listed province during the reporting period other than a quantity of fuel of that type used in the listed province (i)in a journey by aircraft or vessel, in a locomotive or in a specified commercial vehicle, or in a journey by aircraft or vessel, in a locomotive or in a specified commercial vehicle, or (ii)in a non-covered activity if the person is a registered user in respect of that type of fuel, in a non-covered activity if the person is a registered user in respect of that type of fuel, (b)used by the person in a covered air journey in respect of the listed province during the reporting period, used by the person in a covered air journey in respect of the listed province during the reporting period, (c)used by the person in a covered marine journey in respect of the listed province during the reporting period, used by the person in a covered marine journey in respect of the listed province during the reporting period, (d)used by the person in a locomotive in the listed province during the reporting period, used by the person in a locomotive in the listed province during the reporting period, (e)used by the person in a specified commercial vehicle in the listed province during the reporting period, used by the person in a specified commercial vehicle in the listed province during the reporting period, (f)delivered in the listed province by the person to another person during the reporting period unless(i)the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36,(ii)the person and the other person are both registered specified air carriers in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or(iii)the person and the other person are both registered specified marine carriers in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or delivered in the listed province by the person to another person during the reporting period unless (i)the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, (ii)the person and the other person are both registered specified air carriers in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or the person and the other person are both registered specified air carriers in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or (iii)the person and the other person are both registered specified marine carriers in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or the person and the other person are both registered specified marine carriers in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or (g)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province; and a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province; and is (a)the total of all quantities, each of which is a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province, or the total of all quantities, each of which is a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province, or (b)unless paragraph (a) applies, zero. unless paragraph (a) applies, zero. Net fuel quantity — registered specified rail carrier The net fuel quantity of a person that is a registered specified rail carrier in respect of a type of fuel for a reporting period of the person, for that type of fuel and for a listed province is the amount determined by the formula is the total of all quantities, each of which is a quantity of fuel of that type that is used by the person in a locomotive in the listed province during the reporting period estimated in a manner satisfactory to the Minister; (d)used by the person in a specified commercial vehicle in the listed province during the reporting period, (e)delivered in the listed province by the person to another person during the reporting period unless(i)the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or(ii)the other person is a registered specified rail carrier in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or (i)the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or (ii)the other person is a registered specified rail carrier in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or the other person is a registered specified rail carrier in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36, or (f)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province; and Net fuel quantity — registered air or marine carrier The net fuel quantity of a person that is a registered air carrier or registered marine carrier in respect of a type of fuel for a reporting period of the person, for that type of fuel and for a listed province is the amount determined by the formula (a)used by the person in a covered air journey in respect of the listed province during the reporting period, (b)used by the person in a covered marine journey in respect of the listed province during the reporting period, (c)used by the person in a locomotive in the listed province during the reporting period, (e)removed from a supply tank of an aircraft, vessel, locomotive or specified commercial vehicle of the person at a location in the listed province during the reporting period, or removed from a supply tank of an aircraft, vessel, locomotive or specified commercial vehicle of the person at a location in the listed province during the reporting period, or (a)transferred into a supply tank of an aircraft, vessel, locomotive or specified commercial vehicle of the person at a location in the listed province during the reporting period, or transferred into a supply tank of an aircraft, vessel, locomotive or specified commercial vehicle of the person at a location in the listed province during the reporting period, or (b)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province. a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province. Net fuel quantity — registered rail carrier The net fuel quantity of a person that is a registered rail carrier in respect of a type of fuel for a reporting period of the person, for that type of fuel and for a listed province is the amount determined by the formula (c)used by the person in a specified commercial vehicle in the listed province during the reporting period, (d)removed from a supply tank of an aircraft, vessel, locomotive or specified commercial vehicle of the person at a location in the listed province during the reporting period, or (e)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province; and Net fuel quantity — registered road carrier The net fuel quantity of a person that is a registered road carrier in respect of a type of fuel for a reporting period of the person, for that type of fuel and for a listed province is the amount determined by the formula (a)used by the person in a specified commercial vehicle in the listed province (unless the fuel is used at a covered facility of the person and the person is a registered emitter) during the reporting period, used by the person in a specified commercial vehicle in the listed province (unless the fuel is used at a covered facility of the person and the person is a registered emitter) during the reporting period, (b)removed from a supply tank of a specified commercial vehicle of the person at a location in the listed province during the reporting period, or removed from a supply tank of a specified commercial vehicle of the person at a location in the listed province during the reporting period, or (c)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the reporting period and the listed province; and (a)transferred into a supply tank of a specified commercial vehicle of the person at a location in the listed province (unless the location is a covered facility of the person and the person is a registered emitter) during the reporting period, or transferred into a supply tank of a specified commercial vehicle of the person at a location in the listed province (unless the location is a covered facility of the person and the person is a registered emitter) during the reporting period, or Annual net fuel adjustment — rail carrier If, at any time in a particular calendar year, a person is a registered specified rail carrier or registered rail carrier in respect of a type of fuel, the annual net fuel adjustment of the person for the particular calendar year, for that type of fuel and for a listed province is the amount determined by the formula (a)used by the person in a locomotive in the listed province at any time in the particular calendar year when the person is a registered specified rail carrier or registered rail carrier in respect of that type of fuel, or used by the person in a locomotive in the listed province at any time in the particular calendar year when the person is a registered specified rail carrier or registered rail carrier in respect of that type of fuel, or (b)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the particular calendar year and the listed province; and a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the particular calendar year and the listed province; and (a)the total determined for A in section 29 or 31 for a reporting period of the person in the particular calendar year, for that type of fuel and for the listed province, or the total determined for A in section 29 or 31 for a reporting period of the person in the particular calendar year, for that type of fuel and for the listed province, or (b)a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the particular calendar year and the listed province. a prescribed quantity of fuel of that type, or a quantity of fuel of that type determined in prescribed manner, for the particular calendar year and the listed province. [Repealed, 2026, c. 2, s. 15] [Repealed, 2026, c. 2, s. 16] [Repealed, 2026, c. 2, s.

17] Charge amount — fuel The amount of a charge payable under this Division (other than section 38) in respect of fuel and a listed province is equal to the amount determined by the formula (a)if the charge becomes payable under section 34, the net fuel quantity, if the charge becomes payable under section 34, the net fuel quantity, (b)if the charge becomes payable under section 35, the annual net fuel adjustment, or if the charge becomes payable under section 35, the annual net fuel adjustment, or (c)in any other case, the quantity of the fuel in respect of which the charge becomes payable; and in any other case, the quantity of the fuel in respect of which the charge becomes payable; and (a)if the charge becomes payable under section 35, the rate in respect of fuel of that type for the listed province applicable on December 31 of the calendar year that precedes the calendar year that includes the time at which the charge becomes payable, and if the charge becomes payable under section 35, the rate in respect of fuel of that type for the listed province applicable on December 31 of the calendar year that precedes the calendar year that includes the time at which the charge becomes payable, and (b)in any other case, the rate in respect of fuel of that type for the listed province applicable at the time the charge becomes payable. in any other case, the rate in respect of fuel of that type for the listed province applicable at the time the charge becomes payable. Charge amount — mixture Despite subsection (1), if a manner is prescribed in respect of a mixture that is deemed to be fuel of a prescribed type under subsection 16(2), the amount of a charge payable under this Division in respect of such a mixture is equal to the amount determined in prescribed manner. Charge amount — regulations Despite subsection (1), if prescribed circumstances exist or prescribed conditions are met, the amount of a charge payable under this Division in respect of fuel and a listed province is equal to the amount determined in prescribed manner. Charge amount — combustible waste The amount of a charge payable under section 25 in respect of combustible waste and a listed province is equal to the amount determined by the formula is the quantity, expressed as a weight measured in tonnes, of the combustible waste; and is the rate in respect of combustible waste for the listed province applicable at the time the charge becomes payable. Despite subsection (1), if prescribed circumstances exist or prescribed conditions are met, the amount of a charge payable in respect of combustible waste and a listed province is equal to the amount determined in prescribed manner. Statutory recovery rights Except as specifically provided under this Part, the Customs Act or the Financial Administration Act, no person has a right to recover any money paid to Her Majesty in right of Canada as or on account of, or that has been taken into account by Her Majesty in right of Canada as, an amount payable under this Part. [Repealed, 2026, c. 2, s. 18] Rebate — payment in error The Minister must pay a rebate to a person if the person paid an amount in excess of the amount that was payable by that person under this Part whether the amount was paid by mistake or otherwise. Amount of rebate The amount of a rebate payable under subsection (1) by the Minister is the amount of the excess referred to in that subsection. Restriction on rebate A rebate under this section in respect of an amount must not be paid to a person to the extent that the amount was taken into account as an amount required to be paid by the person in respect of a reporting period of the person and the Minister has assessed the person for that period under section 108; or the amount was an amount assessed under section 108. Application for rebate Despite any other provision under this Part, a rebate under this section in respect of an amount is not to be paid to a person unless an application for the rebate is made in prescribed form containing prescribed information; and filed with the Minister in prescribed manner within two years after the earlier of the day that the amount was taken into account in determining the net charge for a reporting period of the person and the day that the amount was paid to the Receiver General. One application per month Not more than one application for a rebate under this section may be made by a person in a calendar month. A rebate is not to be paid to a person under this Division to the extent that it can reasonably be regarded that the person has obtained or is entitled to obtain a rebate, refund or remission of the amount under any other section of this Act or under any other Act of Parliament; or if prescribed circumstances exist or prescribed conditions are met. A rebate under this Division is not to be paid to a person at any time unless all returns of which the Minister has knowledge and that are required to be filed at or before that time by the person under this Part, the Excise Tax Act, the Income Tax Act, the Air Travellers Security Charge Act, the Excise Act, 2001, the Underused Housing Tax Act and the Select Luxury Items Tax Act have been filed with the Minister. Despite any other provision under this Part, a rebate under this Division, other than section 49, in respect of a particular reporting period of a person is not to be paid unless an application for the rebate is made in prescribed form containing prescribed information; unless paragraph (c) applies, is filed with the Minister in prescribed manner on or before the day on or before which the return under section 69 is required to be filed for the last reporting period of the person that ends within two years after the end of the particular reporting period, and with the return in respect of the reporting period in which the amount of the rebate is taken into account in determining the net charge for the reporting period; and if the rebate is payable under section 47 in respect of an annual net fuel adjustment for a particular calendar year, is filed with the Minister in prescribed manner on or before the day on which the return under section 69 is required to be filed for the reporting period of the person that includes June 30 of the year following the particular calendar year, and with the return in respect of the reporting period that includes June 30 of the year following the particular calendar year. Single application Only one application may be made under this Division for a rebate with respect to any matter. Restriction — bankruptcy If a trustee is appointed under the Bankruptcy and Insolvency Act to act in the administration of the estate or succession of a bankrupt, a rebate under this Part that the bankrupt was entitled to claim before the appointment must not be paid after the appointment unless all returns required to be filed in respect of the bankrupt under this Part, the Excise Tax Act, the Income Tax Act, the Air Travellers Security Charge Act, the Excise Act, 2001, the Underused Housing Tax Act and the Select Luxury Items Tax Act in respect of periods ending before the appointment have been filed and all amounts required under this Part and those Acts to be paid by the bankrupt in respect of those periods have been paid. [Repealed, 2026, c. 2, s. 19] Security For the purposes of this Part, the Minister may require a person that applies to be registered, or that is required to be registered, under this Division to give and maintain security, in an amount determined by the Minister and subject to any terms and conditions that the Minister may specify, for the payment of any amount that is or may become payable by the person under this Part. Failure to comply If, at any time, a person referred to in subsection (1) fails to give or maintain security in an amount satisfactory to the Minister, the Minister may retain as security, out of any amount that may be or may become payable under this Part to the person, an amount not exceeding the amount determined by the formula is the amount of security that would, at that time, be satisfactory to the Minister if it were given by the person in accordance with subsection (1); and is the amount of security, if any, given and maintained by the person in accordance with subsection (1). Amount deemed paid The amount retained under subsection (2) is deemed to have been paid, at the time referred to in that subsection, by the Minister to the person, and to have been given, immediately after that time, by the person as security in accordance with subsection (1). Registrations not statutory instruments For greater certainty, a registration issued under this Part is not a statutory instrument for the purposes of the Statutory Instruments Act. Definition of calendar quarter For the purposes of this section, calendar quarter means a period of three months beginning on the first day of January, April, July or October. Reporting periods For the purposes of this Part, a reporting period of a person is unless paragraph (b) or (c) applies, a calendar month; unless paragraph (c) applies, if the person is registered as a road carrier in respect of any type of fuel and is not otherwise registered, or required to be registered, under this Division, a calendar quarter; or a prescribed period if the person is a prescribed person, a person of a prescribed class or a person meeting prescribed conditions, or prescribed circumstances exist or prescribed conditions are met. Reporting period — registration or cancellation Despite subsection (2), if at a particular time the Minister registers a person, or cancels a registration of a person, under this Division the particular reporting period of the person that includes the particular time ends on the day that includes the particular time; and a reporting period of the person begins on the day following the day that includes the particular time and ends on the day that is unless subparagraph (ii) applies, the last day of the month that includes the particular time, or the last day of the calendar quarter that includes the particular time if, immediately after the particular time, the person is registered as a road carrier in respect of any type of fuel and is not otherwise registered, or required to be registered, under this Division. Filing required Every person that is registered or required to be registered under this Division must file a return with the Minister for each reporting period of the person. The return is to be filed not later than the last day of the first month after the reporting period. Filing required — non-registered persons Every person that is not registered and not required to be registered under this Division must file a return with the Minister for each reporting period of the person in which a charge (other than a charge under subsection 20(3)) becomes payable by the person. The return is to be filed not later than the last day of the first month after the reporting period. Returns — regulations If prescribed circumstances exist or prescribed conditions are met, a return for a reporting period that is a prescribed reporting period or a reporting period meeting prescribed conditions must, despite subsections (1) and (2), be filed in accordance with prescribed rules. Filing not required — regulations If prescribed circumstances exist or prescribed conditions are met, a return for a reporting period that is a prescribed reporting period or a reporting period meeting prescribed conditions, despite subsections (1) and (2), is not required to be filed. Form and content Every return required to be filed under section 69 is to be made in prescribed form containing prescribed information and is to be filed in prescribed manner. Net charge — obligation Every person that is required to file a return under section 69 must, in the return, determine the net charge for the reporting period of the person for which the return is required to be filed. Determination of net charge Subject to this Part, the net charge for a particular reporting period of a person is the amount determined by the formula is the total of all amounts, each of which is the amount determined for a listed province by the formula is the total of all amounts, each of which is (a)a charge (other than a charge under subsection 20(3)) in respect of fuel and the listed province that becomes payable by the person in the particular reporting period, a charge (other than a charge under subsection 20(3)) in respect of fuel and the listed province that becomes payable by the person in the particular reporting period, (b)a charge in respect of combustible waste and the listed province that becomes payable by the person in the particular reporting period, or a charge in respect of combustible waste and the listed province that becomes payable by the person in the particular reporting period, or (c)a prescribed amount, or an amount determined in prescribed manner, in respect of the listed province that is required to be added in determining the net charge for the particular reporting period of the person, and a prescribed amount, or an amount determined in prescribed manner, in respect of the listed province that is required to be added in determining the net charge for the particular reporting period of the person, and (a)an amount of a rebate (other than a rebate under section 49 or a net charge rebate under subsection (4)) in respect of the listed province payable by the Minister in respect of a reporting period and that is claimed by the person in the return under section 69 for the particular reporting period, or an amount of a rebate (other than a rebate under section 49 or a net charge rebate under subsection (4)) in respect of the listed province payable by the Minister in respect of a reporting period and that is claimed by the person in the return under section 69 for the particular reporting period, or (b)a prescribed amount, or an amount determined in prescribed manner, in respect of the listed province that may be deducted in determining the net charge for the particular reporting period of the person; and a prescribed amount, or an amount determined in prescribed manner, in respect of the listed province that may be deducted in determining the net charge for the particular reporting period of the person; and the total of all amounts, each of which is a positive or negative prescribed amount, or an amount determined in prescribed manner, for the particular reporting period of the person. Requirement to pay If the net charge for a reporting period of a person is a positive amount, the person must pay that amount to the Receiver General on or before the day on or before which the return for the reporting period is required to be filed. Net charge rebate If the net charge for a reporting period of a person is a negative amount, the person may claim in the return filed under section 69 for that reporting period the amount of that net charge as a net charge rebate for the reporting period payable to the person by the Minister. The Minister must pay the net charge rebate to the person with all due dispatch after the return is filed. Restriction — net charge rebate The Minister is not required to pay a net charge rebate under subsection (4) to a person unless the Minister is satisfied that all information, that is contact information or that is information relating to the identification and business activities of the person, to be given by the person on any application made by the person under this Division for registration has been provided and is accurate. Interest on net charge rebate If a net charge rebate for a reporting period of a person is paid to the person under subsection (4), interest at the prescribed rate is to be paid to the person on the net charge rebate for the period beginning on the day that is 30 days after the later of the day the return in which the net charge rebate is claimed is filed with the Minister and the day following the last day of the reporting period and ending on the day the net charge rebate is paid. Overpayment of rebate or interest If an amount is paid to, or applied to a liability of, a person as a rebate, or as interest, under this Part and the person is not entitled to the rebate or interest, as the case may be, or the amount paid or applied exceeds the rebate or interest, as the case may be, to which the person is entitled, the person must pay to the Receiver General an amount equal to the rebate, interest or excess, as the case may be, on the day the rebate, interest or excess, as the case may be, is paid to, or applied to a liability of, the person. Reportable amount A person that is required to file, under section 69, a return for a reporting period of the person, must report in that return the amount determined for each listed province that is included in the determination of A in the formula in subsection 71(2) for the reporting period of the person; and an amount that is a prescribed amount or an amount determined in prescribed manner. Failure to report amounts In addition to any other penalty under this Part, every person that fails to report an amount referred to in subsection (1) when and as required in a return required to be filed under section 69, or that misstates such an amount in the return, is liable to a penalty, for each failure or misstatement, equal to 5% of the absolute value of the difference between the amount and if the person failed to report the amount as and when required, zero; and if the person misstated the amount, the amount that was reported by the person in the return. The following definitions apply in this section. bankrupt has the same meaning as in section 2 of the Bankruptcy and Insolvency Act. (failli) business includes a part of a business. (entreprise) receiver means a person that under the authority of a debenture, bond or other debt security, of a court order or of an Act of Parliament or of the legislature of a province, is empowered to operate or manage a business or a property of another person; is appointed by a trustee under a trust deed in respect of a debt security to exercise the authority of the trustee to manage or operate a business or a property of the debtor under the debt security; is appointed by a bank or an authorized foreign bank, as those terms are defined in section 2 of the Bank Act, to act as an agent or mandatary of the bank in the exercise of the authority of the bank under subsection 426(3) of that Act in respect of property of another person; is appointed as a liquidator to liquidate the assets of a corporation or to wind up the affairs of a corporation; or is appointed as a committee, guardian, curator, tutor or mandatary in case of incapacity with the authority to manage and care for the affairs and assets of an individual who is incapable of managing those affairs and assets. It includes a person that is appointed to exercise the authority of a creditor under a debenture, bond or other debt security to operate or manage a business or a property of another person, but, if a person is appointed to exercise the authority of a creditor under a debenture, bond or other debt security to operate or manage a business or a property of another person, it does not include that creditor. (séquestre) relevant assets of a receiver means if the receiver’s authority relates to all the properties, businesses, affairs and assets of a person, all those properties, businesses, affairs and assets; and if the receiver’s authority relates to only part of the properties, businesses, affairs or assets of a person, that part of the properties, businesses, affairs or assets. (actif pertinent) representative means a person, other than a trustee in bankruptcy or a receiver, that is administering, winding up, controlling or otherwise dealing with any property, business, estate or succession of another person. (représentant) Trustee in bankruptcy — obligations For the purposes of this Part, if on a particular day a person becomes a bankrupt, the trustee in bankruptcy, and not the person, is liable for the payment of any amount (other than an amount that relates solely to activities in which the person begins to engage on or after the particular day and to which the bankruptcy does not relate) that is required to be paid by the person under this Part, during the period beginning on the day immediately after the day on which the trustee became the trustee in bankruptcy of the person and ending on the day on which the discharge of the trustee is granted under the Bankruptcy and Insolvency Act, except that the trustee is liable for the payment of any amount that is required to be paid by the person under this Part after the particular day in respect of reporting periods that ended on or before the particular day but only to the extent of the property of the person in possession of the trustee available to satisfy the liability, the trustee is not liable for the payment of any amount for which a receiver is liable under subsection (3), and the payment by the person of an amount in respect of the liability discharges the liability of the trustee to the extent of that amount; if, on the particular day the person is registered under Division 4 of this Part, the registration continues in relation to the activities of the person to which the bankruptcy relates as though the trustee in bankruptcy were registered under that Division in the same capacity as the person in respect of those activities and ceases to apply to the activities of the person in which the person begins to engage on or after the particular day and to which the bankruptcy does not relate; the reporting periods of the person begin and end on the day on which they would have begun and ended if the bankruptcy had not occurred, except that the reporting period of the person during which the person becomes a bankrupt ends on the particular day and a new reporting period of the person in relation to the activities of the person to which the bankruptcy relates begins on the day immediately after the particular day, and the reporting period of the person, in relation to the activities of the person to which the bankruptcy relates, during which the trustee in bankruptcy is discharged under the Bankruptcy and Insolvency Act ends on the day on which the discharge is granted; subject to paragraph (f), the trustee in bankruptcy must file with the Minister in the prescribed form and manner all returns in respect of the activities of the person to which the bankruptcy relates for the reporting periods of the person ending in the period beginning on the day immediately after the particular day and ending on the day on which the discharge of the trustee is granted under the Bankruptcy and Insolvency Act and that are required under this Part to be filed by the person, as if those activities were the only activities of the person; subject to paragraph (f), if the person has not on or before the particular day filed a return required under this Part to be filed by the person for a reporting period of the person ending on or before the particular day, the trustee in bankruptcy must, unless the Minister waives in writing the requirement for the trustee to file the return, file with the Minister in the prescribed form and manner a return for that reporting period of the person; and if there is a receiver with authority in respect of any business, property, affairs or assets of the person, the trustee in bankruptcy is not required to include in any return any information that the receiver is required under subsection (3) to include in a return. Receiver’s obligations For the purposes of this Part, if on a particular day a receiver is vested with authority to manage, operate, liquidate or wind up any business or property, or to manage and care for the affairs and assets, of a person, if the relevant assets of the receiver are a part and not all of the person’s businesses, properties, affairs or assets, the relevant assets of the receiver are deemed to be, throughout the period during which the receiver is acting as receiver of the person, separate from the remainder of the businesses, properties, affairs or assets of the person as though the relevant assets were businesses, properties, affairs or assets, as the case may be, of a separate person; the person and the receiver are jointly and severally, or solidarily, liable for the payment of any amount that is required to be paid by the person under this Part before or during the period during which the receiver is acting as receiver of the person to the extent that the amount can reasonably be considered to relate to the relevant assets of the receiver or to the businesses, properties, affairs or assets of the person that would have been the relevant assets of the receiver if the receiver had been acting as receiver of the person at the time the amount became payable except that the receiver is liable for the payment of any amount that is required to be paid by the person under this Part before that period only to the extent of the property of the person in possession or under the control and management of the receiver after satisfying the claims of creditors whose claims ranked, on the particular day, in priority to the claim of the Crown in respect of the amount, and paying any amounts that the receiver is required to pay to a trustee in bankruptcy of the person, the person is not liable for the payment of any amount payable by the receiver, and the payment by the person or the receiver of an amount in respect of the liability discharges the joint and several, or solidary, liability to the extent of that amount; the reporting periods of the person begin and end on the day on which they would have begun and ended if the vesting had not occurred, except that the reporting period of the person, in relation to the relevant assets of the receiver, during which the receiver begins to act as receiver of the person, ends on the particular day and a new reporting period of the person in relation to the relevant assets begins on the day immediately after the particular day, and the reporting period of the person, in relation to the relevant assets, during which the receiver ceases to act as receiver of the person, ends on the day on which the receiver ceases to act as receiver of the person; the receiver must file with the Minister in the prescribed form and manner all returns in respect of the relevant assets of the receiver for reporting periods ending in the period during which the receiver is acting as receiver and that are required under this Part to be made by the person, as if the relevant assets were the only businesses, properties, affairs and assets of the person; and if the person has not on or before the particular day filed a return required under this Part to be filed by the person for a reporting period of the person ending on or before the particular day, the receiver must, unless the Minister waives in writing the requirement for the receiver to file the return, file with the Minister in the prescribed form and manner a return for that reporting period that relates to the businesses, properties, affairs or assets of the person that would have been the relevant assets of the receiver if the receiver had been acting as receiver of the person during that reporting period. Certificates for receivers and representatives Every receiver and representative that controls property of another person that is required to pay any amount under this Part must, before distributing the property to any person, obtain a certificate from the Minister certifying that the following amounts have been paid or that security for the payment of them has, in accordance with this Part, been accepted by the Minister: all amounts that are payable by the other person under this Part in respect of the reporting period during which the distribution is made, or any previous reporting period; and all amounts that are, or can reasonably be expected to become, payable under this Part by the representative or receiver in that capacity in respect of the reporting period during which the distribution is made, or any previous reporting period. Liability for failure to obtain certificate Any receiver or representative that distributes property without obtaining a certificate in respect of the amounts referred to in subsection (4) is personally liable for the payment of those amounts to the extent of the value of the property so distributed. Estate or succession of a deceased individual Subject to subsections 74(4) and (5) and sections 76 and 77, if an individual dies, this Part (other than section 90) applies as though the estate or succession of the individual were the individual and the individual had not died, except that the reporting period of the individual during which the individual died ends on the day the individual died; and a reporting period of the estate or succession begins on the day after the individual died and ends on the day the reporting period of the individual would have ended if the individual had not died. Extension Despite any other provision of this Part, if the return for the reporting period referred to in paragraph (1)(a) would, in the absence of this subsection, have been required to be filed earlier than the particular day that is the last day of the third month after the month in which the individual died, that return is required to be filed not later than the particular day and any amount payable under this Part in respect of that reporting period is payable to the Receiver General on the particular day. The following definitions apply in this section and in section 77. trust includes the estate or succession of a deceased individual. (fiducie) trustee includes the personal representative of a deceased individual, but does not include a receiver as defined in subsection 74(1). (fiduciaire) Trustee’s liability Subject to subsection (3), each trustee of a trust is liable to satisfy every obligation imposed on the trust under this Part, whether the obligation was imposed during or before the period during which the trustee acts as trustee of the trust, but the satisfaction of an obligation of a trust by one of the trustees of the trust discharges the liability of all other trustees of the trust to satisfy that obligation. Joint and several or solidary liability A trustee of a trust is jointly and severally, or solidarily, liable with the trust and each of the other trustees, if any, for the payment of all amounts that are required to be paid by the trust under this Part before or during the period during which the trustee acts as trustee of the trust except that the trustee is liable for the payment of amounts that are required to be paid by the trust under this Part before the period only to the extent of the property of the trust under the control of the trustee; and the payment by the trust or the trustee of an amount in respect of the liability discharges their liability to the extent of that amount. Waiver The Minister may, in writing, waive the requirement for the personal representative of a deceased individual to file a return for a reporting period of the individual ending on or before the day the individual died. Activities of a trustee For the purposes of this Part, if a person acts as trustee of a trust, anything done by the person in the person’s capacity as trustee of the trust is deemed to have been done by the trust and not by the person. Distribution by trust For the purposes of this Part, if a trustee of a trust distributes, at a particular time, fuel of the trust to one or more persons, the distribution of the fuel is deemed to be a delivery of the fuel by the trust to the persons at the location at which the fuel is located at the particular time. Amalgamations If two or more corporations (each of which is referred to in this section as a “predecessor”) are merged or amalgamated to form one corporation (in this section referred to as the “new corporation”), otherwise than as the result of the acquisition of property of one corporation by another corporation pursuant to the purchase of the property by the other corporation or as the result of the distribution of the property to the other corporation on the winding-up of the corporation, except for prescribed purposes, the new corporation is, for the purposes of this Part, deemed to be the same corporation as, and a continuation of, each predecessor. Registration If a registration of any predecessor is not compatible under Division 4 of this Part with a registration of any other predecessor, the new corporation must apply for registration or apply for cancellation of a registration under that Division, as the case may be. Reporting period If subsection (1) applies in respect of predecessors that are merged or amalgamated at a particular time the reporting period of each predecessor that includes the particular time ends on the day that includes the particular time; and a reporting period of the new corporation begins on the day following the day that includes the particular time and ends on the last day of the reporting period of the new corporation, if that reporting period were determined in the absence of this subsection, that includes the particular time. Winding-up If at a particular time a particular corporation is wound up and not less than 90% of the issued shares of each class of the capital stock of the particular corporation were, immediately before the particular time, owned by another corporation, except for prescribed purposes, the other corporation is, for the purposes of this part, deemed to be the same corporation as, and a continuation of, the particular corporation. If a registration of the particular corporation referred to in subsection (1) is not compatible under Division 4 of this Part with a registration of the other corporation referred to in that subsection, the other corporation must apply for registration or apply for cancellation of a registration under that Division, as the case may be. If the other corporation referred to in subsection (1) is deemed to be the same corporation as, and a continuation of, the particular corporation referred to in that subsection the reporting period of the particular corporation that includes the particular time referred to in that subsection ends on the day that includes the particular time; and a reporting period of the other corporation begins on the day following the day that includes the particular time and ends on the last day of the reporting period of the other corporation, if that reporting period were determined in the absence of this subsection, that includes the particular time. Partnerships For the purposes of this Part, anything done by a person as a member of a partnership is deemed to have been done by the partnership in the course of the partnership’s activities and not to have been done by the person. A partnership and each member or former member (each of which is referred to in this subsection as the “member”) of the partnership (other than a member that is a limited partner and is not a general partner) are jointly and severally, or solidarily, liable for the payment of all amounts that are required to be paid by the partnership under this Part before or during the period during which the member is a member of the partnership or, if the member was a member of the partnership at the time the partnership was dissolved, after the dissolution of the partnership, except that the member is liable for the payment of amounts that become payable before the period only to the extent of the property that is regarded as property of the partnership under the relevant laws of general application in force in a province relating to partnerships, and the payment by the partnership or by any member of the partnership of an amount in respect of the liability discharges their liability to the extent of that amount; and all other obligations under this Part that arose before or during that period for which the partnership is liable or, if the member was a member of the partnership at the time the partnership was dissolved, the obligations that arose upon or as a consequence of the dissolution. Joint ventures For the purposes of this Part, anything done by a participant in a joint venture, or by an operator of the joint venture, in the course of the activities for which the joint venture agreement was entered into are deemed to have been done by the joint venture in the course of the joint venture’s activities and not to have been done by the participant or operator. A joint venture and each participant in, or operator of, the joint venture (each of which is referred to in this subsection as the “member”) are jointly and severally, or solidarily, liable for the payment of all amounts that become payable by the joint venture under this Part before or during the period during which the member is a participant in, or operator of, the joint venture, except that the payment by the joint venture or by any member of an amount in respect of the liability discharges their liability to the extent of that amount; and all other obligations under this Part that arose before or during that period for which the joint venture is liable. benefit means a reduction, an avoidance or a deferral of a charge or other amount payable by a person under this Part or an increase in a rebate or other amount payable to a person under this Part. (avantage) charge-related consequences to a person means the amount of charge, net charge, rebate, net charge rebate, or other amount payable by, or payable to, the person under this Part, or any other amount that is relevant to the purposes of computing that amount. (attribut lié à la redevance) transaction includes an arrangement or event. (opération) General anti-avoidance provision If a transaction is an avoidance transaction, the charge-related consequences to a person must be determined as is reasonable in the circumstances in order to deny a benefit that, but for this section, would result directly or indirectly from that transaction or from a series of transactions that include that transaction. Avoidance transaction An avoidance transaction means any transaction that, but for this section, would result directly or indirectly in a benefit, unless the transaction may reasonably be considered to have been undertaken or arranged primarily for bona fide purposes other than to obtain the benefit; or that is part of a series of transactions, which series, but for this section, would result directly or indirectly in a benefit, unless the transaction may reasonably be considered to have been undertaken or arranged primarily for bona fide purposes other than to obtain the benefit. Provision not applicable For greater certainty, subsection (2) does not apply in respect of a transaction if it may reasonably be considered that the transaction would not result directly or indirectly in a misuse of the provisions of this Part or in an abuse having regard to the provisions of this Part (other than this section) read as a whole. Determination of charge-related consequences Without restricting the generality of subsection (2), in determining the charge-related consequences to a person, as is reasonable in the circumstances, in order to deny a benefit that would, but for this section, result directly or indirectly from an avoidance transaction any rebate or any deduction in net charge may be allowed or disallowed, in whole or in part; any rebate or deduction referred to in paragraph (a) may, in whole or in part, be allocated to any person; the nature of any payment or other amount may be recharacterized; and the effects that would otherwise result from the application of other provisions of this Part may be ignored. Exception Despite any other provision of this Part, the charge-related consequences to any person following the application of this section must only be determined through an assessment, reassessment or additional assessment involving the application of this section. benefit has the meaning assigned by subsection 82(1). (avantage) rate change means any change in any rate in respect of a type of fuel, or in respect of combustible waste, for a listed province. (modification de taux) transaction has the meaning assigned by subsection 82(1). (opération) Rate change — transactions If a transaction, or a series of transactions, involving property is made between two or more persons, all of whom are not dealing with each other at arm’s length at the time any of those transactions are made; the transaction, any of the transactions in the series of transactions or the series of transactions would in the absence of this section result directly or indirectly in a benefit to one or more of the persons involved in the transaction or series of transactions; and it may not reasonably be considered that the transaction, or the series of transactions, has been undertaken or arranged primarily for bona fide purposes other than to obtain a benefit, arising from a rate change, for one or more of the persons involved in the transaction or series of transactions; the amount of charge, net charge, rebate, net charge rebate or other amount payable by, or payable to, any of those persons under this Part, or any other amount that is relevant for the purposes of computing that amount must be determined as is reasonable in the circumstances in order to deny the benefit to any of those persons. Denying benefit on transactions Despite any other provision of this Part, a benefit must only be denied under subsection (2) through an assessment, reassessment or additional assessment. Person resident in Canada For the purposes of this Division, a person is deemed to be resident in Canada at any time in the case of a corporation, if the corporation is incorporated or continued in Canada and not continued elsewhere; in the case of a partnership, a joint venture, an unincorporated society, a club, an association or an organization, or a branch thereof, if the member or participant, or a majority of the members or participants, having management and control thereof is or are resident in Canada at that time; in the case of a labour union, if it is carrying on activities as such in Canada and has a local union or branch in Canada at that time; or in the case of an individual, if the individual is deemed under any of paragraphs 250(1)(b) to (f) of the Income Tax Act to be resident in Canada at that time. Set-off of rebates If, at any time, a person files a return under section 69 in which the person reports an amount that is required to be paid under this Part by the person and the person claims a rebate under section 49 payable to the person under this Part at that time, in the return or in another return, or in a separate application filed under this Part with the return, the person is deemed to have paid at that time, and the Minister is deemed to have rebated at that time, an amount equal to the lesser of the amount required to be paid and the amount of the rebate. Definition of electronic payment In this section, electronic payment means any payment to the Receiver General that is made through electronic services offered by a person described in any of paragraphs (2)(a) to (d) or by any electronic means specified by the Minister. Electronic payment Every person that is required under this Part to pay an amount to the Receiver General must, if the amount is $10,000 or more, make the payment by way of electronic payment, unless the person cannot reasonably pay the amount in that manner, to the account of the Receiver General at or through a bank; a credit union; a corporation that is authorized under the laws of Canada or a province to carry on the business of offering its services as a trustee to the public; or a corporation that is authorized under the laws of Canada or a province to accept deposits from the public and that carries on the business of lending money on the security of real property or immovables or investing in indebtedness on the security of mortgages on real property or hypothecs on immovables. Small amounts owing If, at any time, the total of all unpaid amounts owing by a person to the Receiver General under this Part does not exceed $2.00, the amount owing by the person is deemed to be nil. Small amounts payable If, at any time, the total of all amounts payable by the Minister to a person under this Part does not exceed $2.00, the Minister may apply those amounts against any amount owing, at that time, by the person to Her Majesty in right of Canada. However, if the person, at that time, does not owe any amount to Her Majesty in right of Canada, those amounts payable are deemed to be nil. Authority for separate returns A person that engages in one or more activities in separate branches or divisions may file an application, in the prescribed form and manner, with the Minister for authority to file separate returns and applications for rebates under this Part in respect of a branch or division specified in the application. Authorization by Minister On receipt of the application, the Minister may, in writing, authorize the person to file separate returns and applications for rebates in relation to the specified branch or division, subject to any conditions that the Minister may at any time impose, if the Minister is satisfied that the branch or division can be separately identified by reference to its location or the nature of the activities engaged in by it; and separate records, books of account and accounting systems are maintained in respect of the branch or division. Revocation of authorization The Minister may revoke an authorization if the person, in writing, requests the Minister to revoke the authorization; the person fails to comply with any condition imposed in respect of the authorization or any provision of this Part; the Minister is no longer satisfied that the requirements of subsection (2) in respect of the person are met; or the Minister considers that the authorization is no longer required. Notice of revocation If the Minister revokes an authorization, the Minister must send a notice in writing of the revocation to the person and must specify in the notice the effective date of the revocation. Definition of electronic filing For the purposes of this section, electronic filing means using electronic media in a manner specified in writing by the Minister. Electronic filing of return A person that is required to file with the Minister a return under this Part, and that meets the criteria specified in writing by the Minister for the purposes of this section, may file the return by way of electronic filing. Mandatory filing of return by electronic transmission If a person is, in respect of a reporting period of the person, a prescribed person, a person of a prescribed class or a person meeting prescribed conditions, the person must file its return for the reporting period by way of electronic filing in the manner specified by the Minister for the person. Deemed filing For the purposes of this Part, if a person files a return by way of electronic filing, the return is deemed to be a return made in the prescribed form filed with the Minister on the day the Minister acknowledges acceptance of it. Execution of returns, etc.

A return (other than a return filed by way of electronic filing under section 89), certificate or other document made under this Part (other than an exemption certificate referred to in section 36) by a person that is not an individual must be signed on behalf of the person by an individual duly authorized to do so by the person or the governing body of the person and the following people are deemed to be so duly authorized, if the person is a corporation or an association or organization that has duly elected or appointed officers, the president, vice-president, secretary and treasurer, or other equivalent officers, of the person; and if the person is the estate or succession of a deceased individual, the personal representative of the estate or succession. Extension of time The Minister may at any time extend, in writing, the time for filing a return or providing information under this Part. Effect of extension If the Minister extends the time within which a person must file a return or provide information under subsection (1), the return must be filed, or the information must be provided, within the time so extended; any amount payable that the person is required to report in the return must be paid within the time so extended; any interest payable under section 97 on the amount referred to in paragraph (b) must be calculated as though the amount were required to be paid on the day on which the extended time expires; and any penalty payable under section 123 in respect of the return must be calculated as though the return were required to be filed on the day on which the extended time expires. Demand for return The Minister may, on demand sent by the Minister, require a person to file, within any reasonable time stipulated in the demand, a return under this Part for any period designated in the demand. Minister’s duty The Minister must administer and enforce this Part and the Commissioner may exercise the powers and perform the duties of the Minister under this Part. Staff The persons that are necessary to administer and enforce this Part are to be appointed, employed or engaged in the manner authorized by law. Delegation of powers The Minister may authorize any person employed or engaged by the Canada Revenue Agency or who occupies a position of responsibility in the Canada Revenue Agency to exercise powers or perform duties of the Minister, including any judicial or quasi-judicial power or duty of the Minister, under this Part. Administration of oaths Any person, if designated by the Minister for the purpose, may administer oaths and take and receive affidavits, declarations and affirmations for the purposes of or incidental to the administration or enforcement of this Part, and every person so designated has for those purposes all the powers of a commissioner for administering oaths or taking affidavits. Inquiry The Minister may, for any purpose related to the administration or enforcement of this Part, authorize any person, whether or not the person is an officer of the Canada Revenue Agency, to make any inquiry that the Minister may deem necessary with reference to anything relating to the administration or enforcement of this Part. Appointment of hearing officer If the Minister, under subsection (1), authorizes a person to make an inquiry, the Minister must forthwith apply to the Tax Court of Canada for an order appointing a hearing officer before whom the inquiry will be held. Powers of hearing officer For the purposes of an inquiry authorized under subsection (1), a hearing officer appointed under subsection (2) in relation to the inquiry has all the powers conferred on a commissioner by sections 4 and 5 of the Inquiries Act and that may be conferred on a commissioner under section 11 of that Act. When powers to be exercised A hearing officer appointed under subsection (2) in relation to an inquiry must exercise the powers conferred on a commissioner by section 4 of the Inquiries Act in relation to any persons that the person authorized to make the inquiry considers appropriate for the conduct of the inquiry, but the hearing officer is not to exercise the power to punish any person unless, on application by the hearing officer, a judge, including a judge of a county court, certifies that the power may be exercised in the matter disclosed in the application and the applicant has given to the person in respect of whom the power is proposed to be exercised 24 hours notice of the hearing of the application, or any shorter notice that the judge considers reasonable. Rights of witnesses Any person who gives evidence in an inquiry authorized under subsection (1) is entitled to be represented by counsel and, on request made by the person to the Minister, to receive a transcript of that evidence. Rights of person investigated Any person whose affairs are investigated in the course of an inquiry authorized under subsection (1) is entitled to be present and to be represented by counsel throughout the inquiry unless the hearing officer appointed under subsection (2), on application by the Minister or a person giving evidence, orders otherwise in relation to the whole or any part of the inquiry, on the ground that the presence of the person and the person’s counsel, or either of them, would be prejudicial to the effective conduct of the inquiry. Compound interest on amounts not paid when required If a person fails to pay an amount to the Receiver General as and when required under this Part, the person must pay to the Receiver General interest on the amount. The interest must be compounded daily at the prescribed rate and computed for the period that begins on the first day after the day on or before which the amount was required to be paid and that ends on the day the amount is paid. Payment of interest that is compounded For the purposes of subsection (1), interest that is compounded on a particular day on an unpaid amount of a person is deemed to be required to be paid by the person to the Receiver General at the end of the particular day, and, if the person has not paid the interest so computed by the end of the day after the particular day, the interest must be added to the unpaid amount at the end of the particular day. Payment before specified date If the Minister has served a demand that a person pay on or before a specified date all amounts payable by the person under this Part on the date of the demand, and the person pays the amount demanded on or before the specified date, the Minister must waive any interest that would otherwise apply in respect of the amount demanded for the period beginning on the first day following the date of the demand and ending on the day of payment. Compound interest on amounts owed by Her Majesty Interest must be compounded daily at the prescribed rate on amounts owed under this Part by Her Majesty in right of Canada to a person and computed for the period beginning on the first day after the day on which the amount is required to be paid by Her Majesty in right of Canada and ending on the day on which the amount is paid or is applied against an amount owed by the person to Her Majesty in right of Canada. Application of interest provisions if Part amended For greater certainty, if a provision of an Act amends this Part and provides that the amendment comes into force on, or applies as of, a particular day that is before the day on which the provision is assented to, the provisions of this Part that relate to the calculation and payment of interest apply in respect of the amendment as though the provision had been assented to on the particular day. Waiving or reducing interest The Minister may, on or before the day that is 10 calendar years after the end of a reporting period of a person, or on application by the person on or before that day, waive, cancel or reduce any interest payable by the person under this Part on an amount that is required to be paid by the person under this Part in respect of the reporting period. Interest where amounts waived or reduced If a person has paid an amount of interest and the Minister has waived or reduced under subsection (1) any portion of the amount, the Minister must pay interest at the prescribed rate on an amount equal to the portion of the amount that was waived or reduced beginning on the day that is 30 days after the day on which the Minister received a request in a manner satisfactory to the Minister to apply that subsection and ending on the day on which the portion is rebated to the person. Cancellation of penalties and interest If at any time a person pays all charges and amounts under section 72 payable by the person under this Part for a reporting period of the person and, immediately before that time, the total, for the reporting period, of all interest payable by the person under section 97 and penalties payable under section 123 is not more than $25, the Minister may cancel the total of the penalties and interest. Dishonoured instruments For the purposes of this Part and section 155.1 of the Financial Administration Act, any charge that is payable at any time by a person under the Financial Administration Act in respect of an instrument tendered in payment or settlement of an amount that is payable under this Part is deemed to be an amount that is payable by the person at that time under this Part. In addition, Part II of the Interest and Administrative Charges Regulations does not apply to the charge and any debt under subsection 155.1(3) of the Financial Administration Act in respect of the charge is deemed to be extinguished at the time the total of the amount and any applicable interest under this Part is paid. Service Fees Act For greater certainty, the Service Fees Act does not apply to any charge or other amount payable under this Part. Keeping records Every person that pays or is required to pay a charge, every person that is required under this Part to file a return and every person that makes an application for a rebate must keep all records that are necessary to enable the determination of the person’s liabilities and obligations under this Part or the amount of any rebate to which the person is entitled under this Part and whether the person has complied with this Part. Minister may specify information The Minister may specify the form a record is to take and any information that the record must contain. Language and location of record Unless otherwise authorized by the Minister, a record must be kept in Canada in English or in French. Electronic records Every person required under this Part to keep a record that does so electronically must ensure that all equipment and software necessary to make the record intelligible are available during the retention period required for the record. Exemptions The Minister may, on any terms and conditions that are acceptable to the Minister, exempt a person or a class of persons from the requirement in subsection (4). Inadequate records If a person fails to keep adequate records for the purposes of this Part, the Minister may, in writing, require the person to keep any records that the Minister may specify, and the person must keep the records specified by the Minister. General period for retention Every person that is required to keep records must retain them until the expiry of six years after the end of the year to which they relate or for any other period that may be prescribed. Objection or appeal If a person that is required under this Part to keep records serves a notice of objection or is a party to an appeal or reference under this Part, the person must retain every record that pertains to the subject-matter of the objection, appeal or reference until the objection, appeal or reference is finally disposed of. Demand by Minister If the Minister is of the opinion that it is necessary for the administration or enforcement of this Part, the Minister may, by a demand served personally or confirmed delivery service, require any person required under this Part to keep records to retain those records for any period that is specified in the demand, and the person must comply with the demand. Permission for earlier disposal A person that is required under this Part to keep records may dispose of them before the expiry of the period during which they are required to be kept if written permission for their disposal is given by the Minister. Electronic funds transfer For greater certainty, information obtained by the Minister under Part XV.1 of the Income Tax Act may be used for the purposes of this Part. Requirement to provide information or record Despite any other provision of this Part, the Minister may, subject to subsection (2), for any purpose related to the administration or enforcement of this Part, by a notice served or sent in accordance with subsection (1.1), require a person resident in Canada or a person that is not resident in Canada but that is engaged in activities in Canada to provide any information or record. Notice A notice referred to in subsection (1) may be served personally; sent by confirmed delivery service; or sent electronically to a bank or credit union (as defined in subsection 123(1) of the Excise Tax Act) that has provided written consent to receive notices under subsection (1) electronically. Unnamed persons The Minister must not impose on any person (in this section referred to as a “third party”) a requirement to provide information or any record relating to one or more unnamed persons unless the Minister first obtains the authorization of a judge under subsection (3). Judicial authorization A judge of the Federal Court may, on application by the Minister and subject to any conditions that the judge considers appropriate, authorize the Minister to impose on a third party a requirement under subsection (1) relating to an unnamed person or more than one unnamed person (in this subsection referred to as the “group”) if the judge is satisfied by information on oath that the person or group is ascertainable; and the requirement is made to verify compliance by the person or persons in the group with any obligation under this Part. authorized person means a person who is engaged or employed, or who was formerly engaged or employed, by or on behalf of Her Majesty in right of Canada to assist in carrying out the provisions of this Part. (personne autorisée) business number means the number (other than a Social Insurance Number) used by the Minister to identify a person registered for the purposes of this Part. (numéro d’entreprise) confidential information means information of any kind and in any form that relates to one or more persons and that is obtained by or on behalf of the Minister for the purposes of this Act, or prepared from information referred to in paragraph (a), but does not include information that does not directly or indirectly reveal the identity of the person to whom it relates and, for the purposes of applying subsections (3), (13) and (15) to a representative of a government entity that is not an official, includes only the information described in paragraph 211(6)(j) of the Excise Act, 2001. (renseignement confidentiel) court of appeal has the same meaning as in section 2 of the Criminal Code. (cour d’appel) government entity means a department or agency of the government of Canada or of a province; a municipality; an aboriginal government as defined in subsection 2(1) of the Federal-Provincial Fiscal Arrangements Act; a corporation all of the shares (except directors’ qualifying shares) of the capital stock of which are owned by one or more persons each of which is Her Majesty in right of Canada, Her Majesty in right of a province, a municipality, or a corporation described in this paragraph; or a board or commission, established by Her Majesty in right of Canada or a province, that performs an administrative or regulatory function of government, or by a municipality, that performs an administrative or regulatory function of a municipality. (entité gouvernementale) municipality means an incorporated city, town, village, metropolitan authority, township, district, county or rural municipality or other incorporated municipal body however designated. (municipalité) official means a person that is employed in the service of, that occupies a position of responsibility in the service of, or that is engaged by or on behalf of Her Majesty in right of Canada or a province, or a person that was formerly so employed, that formerly occupied such a position or that formerly was so engaged. (fonctionnaire) representative of a government entity means a person that is employed in the service of, that occupies a position of responsibility in the service of, or that is engaged by or on behalf of, a government entity, and includes, for the purposes of subsections (2), (3), (13) and (15), a person that was formerly so employed, that formerly occupied such a position or that formerly was so engaged. (représentant) Provision of confidential information Except as authorized under this section, an official or other representative of a government entity must not knowingly provide, or allow to be provided, to any person any confidential information; allow any person to have access to any confidential information; or use any confidential information other than in the course of the administration or enforcement of this Act. Confidential information evidence not compellable Despite any other Act of Parliament or other law, no official or other representative of a government entity is required, in connection with any legal proceedings, to give or produce evidence relating to any confidential information. Communications — proceedings have been commenced Subsections (2) and (3) do not apply in respect of criminal proceedings, either by indictment or on summary conviction, that have been commenced by the laying of an information or the preferring of an indictment, under an Act of Parliament; or any legal proceedings relating to the administration or enforcement of this Act, the Canada Pension Plan, the Employment Insurance Act or any other Act of Parliament or law of a province that provides for the payment of a duty or tax. Authorized provision of confidential information The Minister may provide appropriate persons with any confidential information that may reasonably be regarded as necessary solely for a purpose relating to the life, health or safety of an individual or to the environment in Canada or any other country. Disclosure of confidential information — Excise Act, 2001 Subsections 211(6) and (6.1) of the Excise Act, 2001 apply in this Part, with any modifications that the circumstances require, as if the references in those subsections to the Excise Act, 2001 were references to this Part; confidential information for the purposes of this Part were confidential information for the purposes of the Excise Act, 2001; an authorized person for the purposes of this Part were an authorized person for the purposes of the Excise Act, 2001; and a business number for the purposes of this Part were a business number for the purposes of the Excise Act, 2001. Disclosure of confidential information An official may provide any confidential information to an official of the Department of the Environment solely for the purposes of Part 2 or the formulation or evaluation of greenhouse gas pollution pricing policy; any confidential information relating to His Majesty in right of a province to an official of a department or agency of the Government of Canada, if His Majesty in right of the province or an agent of His Majesty in right of the province is not in compliance with this Part or has stated that it will not comply with this Part, solely for the purposes of the evaluation of, or the formulation of a response to, the non-compliance or statement; or any confidential information relating to an agent of His Majesty in right of a province to an official of a department or agency of the Government of Canada, if the agent or His Majesty in right of the province is not in compliance with this Part or has stated that it will not comply with this Part, solely for the purposes of the evaluation of, or the formulation of a response to, the non-compliance or statement. Public disclosure The Minister may, in connection with a program, activity or service provided or undertaken by the Minister, make available to the public the business number of, and the name of (including any trade name or other name used by), the holder of a business number. Public disclosure by representative of government entity A representative of a government entity may, in connection with a program, activity or service provided or undertaken by the government entity, make available to the public the business number of, and the name of (including any trade name or other name used by), the holder of a business number, if a representative of the government entity was provided with that information under subsection (6); and the government entity uses the business number as an identifier in connection with the program, activity or service. Public disclosure — province or agent non-compliance The Minister may communicate or otherwise make available to the public, in any manner that the Minister considers appropriate, confidential information relating to a person that is His Majesty in right of a province or an agent of His Majesty in right of a province if the following conditions are satisfied: if the person is His Majesty in right of a province, it is the case that the person is not in compliance with this Part or has publicly stated that it will not comply with this Part, or an agent of His Majesty in right of the province is not in compliance with this Part or has publicly stated that it will not comply with this Part; if the person is an agent of His Majesty in right of a province, it is the case that His Majesty in right of the province is not in compliance with this Part or has publicly stated that it will not comply with this Part; and the confidential information relates to a registration status of, or the status of an application for registration by, the person under this Part, a return that is filed, or required to be filed, by the person under this Part, including information that is contained in the return or that could reasonably be expected to be contained in the return, an amount that is payable under this Part by or to the person, including a charge, rebate, net charge, penalty or amount of interest, a projection or estimation of an amount that is, or that could reasonably be expected to be, payable under this Part by or to the person, including a charge, rebate, net charge, penalty or amount of interest, an amount that is assessed under this Part in relation to the person, the extent to which an amount referred to in any of subparagraphs (iii) to (v) has or has not been paid, an amount that is paid under this Part by or to the person, a quantity of fuel or combustible waste that is delivered, imported, brought into a listed province, used or otherwise quantified for purposes of this Part, a projection or estimation of a quantity of fuel or combustible waste that could reasonably be expected to be delivered, imported, brought into a listed province, used or otherwise quantified for purposes of this Part, a step that is, or is not, taken or contemplated by the Minister in the administration or enforcement of this Part relating to the person, including information relating to the collection of an amount, an assessment, an objection to an assessment, an audit or an appeal or legal proceeding, a step that is or is not taken by the person in relation to its compliance or non-compliance with this Part, including information relating to the collection of an amount, an assessment, an objection to an assessment, an audit or an appeal or legal proceeding, or a declaration or representation made by the person relating to anything set out in subparagraphs (i) to (xi). His Majesty — information not confidential Information relating to His Majesty in right of a province or an agent of His Majesty in right of a province that is communicated, or otherwise made available to the public, by the Minister under subsection (9.1) is deemed not to be confidential information for the purposes of this section and section 134. Serious offences An official may provide information to a law enforcement officer of an appropriate police organization in the circumstances described in subsection 211(6.4) of the Excise Act, 2001. Threats to security An official may provide information to the head, or their delegate, of a recipient Government of Canada institution listed in Schedule 3 to the Security of Canada Information Sharing Act in the circumstances described in subsection 211(6.5) of the Excise Act, 2001. Measures to prevent unauthorized use or disclosure The person presiding at a legal proceeding relating to the supervision, evaluation or discipline of an authorized person may order any measures that are necessary to ensure that confidential information is not used or provided to any person for any purpose not relating to that proceeding, including holding a hearing in camera; banning the publication of the information; concealing the identity of the person to whom the information relates; and sealing the records of the proceeding. Disclosure to person or on consent An official or other representative of a government entity may provide confidential information relating to a person to that person; and with the consent of that person, to any other person. Confirmation of registration and business number On being provided by any person with information specified by the Minister sufficient to identify a single person and a number, an official may confirm or deny that the following statements are both true: the identified person is registered under Division 4 of this Part; and the number is the business number of the identified person. Appeal from order or direction An order or direction that is made in the course of or in connection with any legal proceedings and that requires an official or other representative of a government entity to give or produce evidence relating to any confidential information may, by notice served on all interested parties, be appealed forthwith by the Minister or by the person against whom the order or direction is made to the court of appeal of the province in which the order or direction is made, in the case of an order or direction made by a court or other tribunal established under the laws of the province, whether that court or tribunal is exercising a jurisdiction conferred by the laws of Canada; or the Federal Court of Appeal, in the case of an order or direction made by a court or other tribunal established under the laws of Canada. Disposition of appeal The court to which an appeal is taken under subsection (15) may allow the appeal and quash the order or direction appealed from or may dismiss the appeal, and the rules of practice and procedure from time to time governing appeals to the courts must apply, with any modifications that the circumstances require, in respect of an appeal instituted under subsection (15). Stay An appeal instituted under subsection (15) must stay the operation of the order or direction appealed from until judgment is pronounced. Assessment The Minister may assess a person for any charge or other amount payable by the person under this Part and may, despite any previous assessment covering, in whole or in part, the same matter, vary the assessment, reassess the person assessed or make any additional assessments that the circumstances require. Liability not affected The liability of a person to pay an amount under this Part is not affected by an incorrect or incomplete assessment or by the fact that no assessment has been made. Minister not bound The Minister is not bound by any return, application or information provided by or on behalf of any person and may make an assessment despite any return, application or information provided or not provided. Rebate on reassessment If a person has paid an amount assessed under this section and the amount paid exceeds the amount determined on reassessment to have been payable by the person, the Minister must provide a rebate to the person equal to the excess and, for the purpose of section 98, the rebate is deemed to have been required to be paid on the day on which the amount was paid to the Minister together with interest on the excess at the prescribed rate for the period beginning on the day the amount was paid by the person and ending on the day the rebate is paid. Determination of rebates In making an assessment, the Minister may take into account any rebate payable to the person being assessed under this Part. If the Minister does so, the person is deemed to have applied for the rebate under this Part on the day the notice of assessment is sent. Interest on cancelled amounts Despite subsection (4), if a person has paid an amount of interest or penalty and the Minister waives or cancels that amount under section 100 or 125, the Minister must rebate the amount to the person, together with interest on the amount at the prescribed rate for the period beginning on the day that is 30 days after the day on which the Minister received a request in a manner satisfactory to the Minister to apply that section and ending on the day on which the rebate is paid. Restriction on rebates An amount under this section must not be rebated to a person at any time unless all returns of which the Minister has knowledge and that are required to be filed at or before that time by the person under this Part, the Excise Tax Act, the Income Tax Act, the Air Travellers Security Charge Act, the Excise Act, 2001, the Underused Housing Tax Act and the Select Luxury Items Tax Act have been filed with the Minister. Assessment of rebate On receipt of an application made by a person for a rebate under this Part, the Minister must, without delay, consider the application and assess the amount of the rebate, if any, payable to the person. Reassessment The Minister may reassess or make an additional assessment of the amount of a rebate despite any previous assessment of the amount of the rebate. Assessment of overpayment of rebate The Minister may assess, reassess or make an additional assessment of an amount payable by a person under section 72 despite any previous assessment of the amount. Payment If, on assessment under this section, the Minister determines that a rebate is payable to a person, the Minister must pay the rebate to the person. Restriction Interest If a rebate under this section is paid to a person, the Minister must pay interest at the prescribed rate to the person on the rebate for the period beginning on the day that is 30 days after the day on which the application for the rebate is filed with the Minister and ending on the day on which the rebate is paid. Notice of assessment After making an assessment under this Part, the Minister must send to the person assessed a notice of the assessment. Payment of remainder If the Minister has assessed a person for an amount, any portion of that amount then remaining unpaid is payable to the Receiver General as of the date of the notice of assessment. Limitation period for assessments Subject to subsections (3) to (7) and (10), no assessment in respect of any charge or other amount payable by a person under this Part must be made more than four years after it became payable by the person under this Part. Period for assessment of rebate Subject to subsections (3) to (7) and (10), an assessment under subsection 109(1) of the amount of a rebate may be made at any time, but a reassessment or additional assessment under section 109 or an assessment under subsection 109(3) in respect of an amount paid or applied as a rebate or of an amount paid or applied as interest in respect of an amount paid or applied as a rebate is not to be made more than four years after the day the application for the rebate was filed in accordance with this Part. Exception — objection or appeal A variation of an assessment, or a reassessment, in respect of any charge or other amount payable under this Part by a person may be made at any time if the variation or reassessment is made to give effect to a decision on an objection or appeal; with the written consent of an appellant to dispose of an appeal; or to give effect to an alternative basis or argument advanced by the Minister under subsection (7). Exception — neglect or fraud An assessment in respect of any matter may be made at any time if the person to be assessed has, in respect of that matter, made a misrepresentation that is attributable to their neglect, carelessness or wilful default; or committed fraud with respect to a return or an application for a rebate filed under this Part. Exception — other period If, in making an assessment, the Minister determines that a person has paid in respect of any matter an amount as or on account of a charge, or net charge, payable for a particular reporting period of the person that was in fact payable for another reporting period of the person, the Minister may at any time make an assessment for that other period in respect of that matter. Exception — adjustment to rebate If the result of a reassessment on an objection to, or a decision on an appeal from, an assessment is to reduce the amount of a charge, or net charge, payable by a person and, by reason of the reduction, any rebate claimed by the person for a reporting period, or in an application for a rebate, should be reduced, the Minister may at any time assess or reassess that reporting period or that application for rebate, as the case may be, only for the purpose of taking the reduction of charge into account in respect of the rebate. Alternative basis or argument The Minister may advance an alternative basis or argument in support of an assessment of a person, or in support of all or any portion of the total amount determined on assessment to be payable by a person under this Part, at any time after the period otherwise limited by subsection (1) or (2) for making the assessment unless, on an appeal under this Part, there is relevant evidence that the person is no longer able to adduce without leave of the court; and it is not appropriate in the circumstances for the court to order that the evidence be adduced. Limitation If a reassessment of a person is made that gives effect to an alternative basis or argument advanced by the Minister under subsection (7) in support of a particular assessment of the person, the Minister is not to reassess for an amount that is greater than the total amount of the particular assessment. Subsection (8) does not apply to any portion of an amount determined on reassessment that the Minister would be entitled to reassess under this Part at any time after the period otherwise limited by subsection (1) or (2) for making the reassessment if this Part were read without reference to subsection (7). Exception — waiver An assessment in respect of any matter specified in a waiver filed under subsection (11) may be made at any time within the period specified in the waiver unless the waiver has been revoked under subsection (12), in which case an assessment may be made at any time during the 180 days that the waiver remains in effect. Filing waiver Any person may, within the time otherwise limited by subsection (1) or (2) for an assessment, waive the application of subsection (1) or (2) by filing with the Minister a waiver in the prescribed form specifying the period for which, and the matter in respect of which, the person waives the application of that subsection. Revoking waiver Any person that has filed a waiver may revoke it by filing with the Minister a notice of revocation of the waiver in the prescribed form and manner. The waiver remains in effect for 180 days after the day on which the notice is filed. Payment of rebates and other amounts Subject to section 165, a rebate or other amount authorized to be paid under this Part may be paid out of the Consolidated Revenue Fund at the time and in the manner that the Minister considers appropriate. Objection to assessment Any person that has been assessed and that objects to the assessment may, within 90 days after the date of the notice of the assessment, file with the Minister a notice of objection in the prescribed form and manner setting out the reasons for the objection and all relevant facts. Issue to be decided A notice of objection must reasonably describe each issue to be decided; specify in respect of each issue the relief sought, expressed as the change in any amount that is relevant for the purposes of the assessment; and provide the facts and reasons relied on by the person in respect of each issue. Late compliance Despite subsection (2), if a notice of objection does not include the information required under paragraph (2)(b) or (c) in respect of an issue to be decided that is described in the notice, the Minister may, in writing, request the person to provide the information, and that paragraph is deemed to be complied with in respect of the issue if, within 60 days after the day on which the request is made, the person submits the information in writing to the Minister. Limitation on objections Despite subsection (1), if a person has filed a notice of objection to an assessment (in this subsection referred to as the “earlier assessment”) and the Minister makes a particular assessment under subsection (8) as a result of the notice of objection, unless the earlier assessment was made in accordance with an order of a court vacating, varying or restoring an assessment or referring an assessment back to the Minister for reconsideration and reassessment, the person may object to the particular assessment in respect of an issue only if the person complied with subsection (2) in the notice with respect to that issue; and only with respect to the relief sought in respect of that issue as specified by the person in the notice. Application — subsection (4) Subsection (4) does not limit the right of the person to object to the particular assessment in respect of an issue that was part of the particular assessment and not part of the earlier assessment. Despite subsection (1), no objection may be made by a person in respect of an issue for which the right of objection has been waived in writing by the person. Acceptance of objection The Minister may accept a notice of objection even though it was not filed in the prescribed form and manner. Consideration of objection On receipt of a notice of objection, the Minister must, without delay, reconsider the assessment and vacate or confirm it or make a reassessment. Waiving reconsideration If, in a notice of objection, a person that wishes to appeal directly to the Tax Court of Canada requests the Minister not to reconsider the assessment objected to, the Minister may confirm the assessment without reconsideration. Notice of decision After reconsidering an assessment under subsection (8) or confirming an assessment under subsection (9), the Minister must notify the person objecting to the assessment of the Minister’s decision in writing. Extension of time by Minister If no objection to an assessment is filed under section 113 within the time limited under this Part, a person may make an application to the Minister to extend the time for filing a notice of objection and the Minister may grant the application. Contents of application An application must set out the reasons why the notice of objection was not filed within the time limited under this Part for doing so. How application made An application must be made by delivering or mailing, to the Assistant Commissioner of the Appeals Branch of the Canada Revenue Agency, the application accompanied by a copy of the notice of objection. Defect in application The Minister may accept an application even though it was not made in accordance with subsection (3). Duties of Minister On receipt of an application, the Minister must, without delay, consider the application and grant or refuse it, and must notify the person of the decision in writing. Date of objection if application granted If an application is granted, the notice of objection is deemed to have been filed on the day of the decision of the Minister. Conditions — grant of application An application must not be granted under this section unless the application is made within one year after the expiry of the time limited under this Part for objecting; and the person demonstrates that within the time limited under this Part for objecting, the person was unable to act or to give a mandate to act in their name, or had a bona fide intention to object to the assessment, given the reasons set out in the application and the circumstances of the case, it would be just and equitable to grant the application, and the application was made as soon as circumstances permitted it to be made. Extension of time by Tax Court of Canada A person that has made an application under section 114 may apply to the Tax Court of Canada to have the application granted after either the Minister has refused the application; or 90 days have elapsed after the day on which the application was made and the Minister has not notified the person of the Minister’s decision. When application may not be made No application may be made after the expiry of 30 days after the day on which the decision referred to in subsection 114(5) was sent to the person. An application must be made by filing in the Registry of the Tax Court of Canada, in accordance with the Tax Court of Canada Act, three copies of the documents delivered or mailed under subsection 114(3). Copy to the Commissioner The Tax Court of Canada must send a copy of the application to the Commissioner. Powers of Tax Court of Canada The Tax Court of Canada may dispose of an application by dismissing or granting it and, in granting it, the Court may impose any terms that it considers just or order that the notice of objection be deemed to be a valid objection as of the date of the order. When application to be granted the application under subsection 114(1) was made within one year after the expiry of the time limited under this Part for objecting; and given the reasons set out in the application under this section and the circumstances of the case, it would be just and equitable to grant the application, and the application under subsection 114(1) was made as soon as circumstances permitted it to be made. Appeal to Tax Court of Canada Subject to subsection (2), a person that has filed a notice of objection to an assessment may appeal to the Tax Court of Canada to have the assessment vacated or a reassessment made after the Minister has confirmed the assessment or has reassessed; or 180 days have elapsed after the day on which the notice of objection was filed and the Minister has not notified the person that the Minister has vacated or confirmed the assessment or has reassessed. No appeal No appeal under subsection (1) may be instituted after the expiry of 90 days after the day on which notice that the Minister has reassessed or confirmed the assessment is sent to the person under subsection 113(10). Amendment of appeal The Tax Court of Canada may, on any terms that it sees fit, authorize a person that has instituted an appeal in respect of a matter to amend the appeal to include any further assessment in respect of the matter that the person is entitled under this section to appeal. Extension of time to appeal If no appeal to the Tax Court of Canada under section 116 has been instituted within the time limited by that section for doing so, a person may make an application to the Tax Court of Canada for an order extending the time within which an appeal may be instituted, and the Court may make an order extending the time for appealing and may impose any terms that it considers just. An application must set out the reasons why the appeal was not instituted within the time limited under section 116 for doing so. An application must be made by filing in the Registry of the Tax Court of Canada, in accordance with the Tax Court of Canada Act, three copies of the application together with three copies of the notice of appeal. Copy to Deputy Attorney General of Canada The Tax Court of Canada must send a copy of the application to the office of the Deputy Attorney General of Canada. When order to be made An order must not be made under this section unless the application is made within one year after the expiry of the time limited under section 116 for appealing; and within the time limited under section 116 for appealing, the person had a bona fide intention to appeal, given the reasons set out in the application and the circumstances of the case, it would be just and equitable to grant the application, the application was made as soon as circumstances permitted it to be made, and there are reasonable grounds for the appeal. Limitation on appeals to the Tax Court of Canada Despite section 116, if a person has filed a notice of objection to an assessment, the person may appeal to the Tax Court of Canada to have the assessment vacated, or a reassessment made, only with respect to an issue in respect of which the person has complied with subsection 113(2) in the notice and the relief sought in respect of the issue as specified by the person in the notice; or an issue described in subsection 113(5) if the person was not required to file a notice of objection to the assessment that gave rise to the issue. No appeal if waiver Despite section 116, a person may not appeal to the Tax Court of Canada to have an assessment vacated or varied in respect of an issue for which the right of objection or appeal has been waived in writing by the person. Institution of appeals An appeal to the Tax Court of Canada under this Part must be instituted in accordance with the Tax Court of Canada Act. The Tax Court of Canada may dispose of an appeal from an assessment by dismissing it; or allowing it and vacating the assessment, or referring the assessment back to the Minister for reconsideration and reassessment. References to Tax Court of Canada If the Minister and another person agree in writing that a question arising under this Part, in respect of any assessment or proposed assessment of the person, should be determined by the Tax Court of Canada, that question must be determined by that Court. Time during consideration not to count For the purpose of making an assessment of a person that agreed in writing to the determination of a question, filing a notice of objection to an assessment or instituting an appeal from an assessment, the time between the day on which proceedings are instituted in the Tax Court of Canada to have a question determined and the day on which the question is finally determined must not be counted in the computation of the four-year period referred to in subsection 111(1); the period within which a notice of objection to an assessment may be filed under section 113; or the period within which an appeal may be instituted under section 116. Reference of common questions to Tax Court of Canada If the Minister is of the opinion that a question arising out of one and the same transaction or occurrence or series of transactions or occurrences is common to assessments or proposed assessments in respect of two or more persons, the Minister may apply to the Tax Court of Canada for a determination of the question. An application must set out the question in respect of which the Minister requests a determination; the names of the persons that the Minister seeks to have bound by the determination;

and the facts and reasons on which the Minister relies and on which the Minister based or intends to base assessments of each person named in the application. Service A copy of the application must be served by the Minister on each of the persons named in it and on any other person that, in the opinion of the Tax Court of Canada, is likely to be affected by the determination of the question. Determination by Tax Court of Canada of question If the Tax Court of Canada is satisfied that a determination of a question set out in an application will affect assessments or proposed assessments in respect of two or more persons that have been served with a copy of the application and that are named in an order of the Tax Court of Canada under this subsection, it may if none of the persons named in the order has appealed from such an assessment, proceed to determine the question in any manner that it considers appropriate; or if one or more of the persons named in the order has or have appealed, make any order that it considers appropriate joining a party or parties to that appeal or those appeals and proceed to determine the question. Determination final and conclusive Subject to subsection (6), if a question set out in an application is determined by the Tax Court of Canada, the determination is final and conclusive for the purposes of any assessments of persons named by the Court under subsection (4). Appeal If a question set out in an application is determined by the Tax Court of Canada, the Minister or any of the persons that have been served with a copy of the application and that are named in an order of the Court under subsection (4) may, in accordance with the provisions of this Part, the Tax Court of Canada Act or the Federal Courts Act, as they relate to appeals from or applications for judicial review of decisions of the Tax Court of Canada, appeal from the determination. Parties to appeal The parties that are bound by a determination are parties to any appeal from the determination. Time during consideration not counted For the purpose of making an assessment of a person, filing a notice of objection to an assessment or instituting an appeal from an assessment, the periods described in subsection (9) must not be counted in the computation of Excluded periods The period that is not to be counted in the computation of the periods described in paragraphs (8)(a) to (c) is the time between the day on which an application that is made under this section is served on a person under subsection (3) and in the case of a person named in an order of the Tax Court of Canada under subsection (4), the day on which the determination becomes final and conclusive and not subject to any appeal; or in the case of any other person, the day on which the person is served with a notice that the person has not been named in an order of the Tax Court of Canada under subsection (4). Failure to file a return when required Every person that fails to file a return for a reporting period as and when required under this Part is liable to pay a penalty equal to the sum of an amount equal to 1% of the total of all amounts each of which is an amount that is required to be paid for the reporting period and was not paid on the day on which the return was required to be filed, and the amount obtained when one quarter of the amount determined under paragraph (a) is multiplied by the number of complete months, not exceeding 12, from the day on which the return was required to be filed to the day on which the return is filed. Penalty — electronic payments Every person that fails to comply with subsection 86(2) is liable to a penalty equal to $100 for each such failure. Failure to file by electronic transmission In addition to any other penalty under this Part, every person that fails to file a return under this Part for a reporting period as required by subsection 89(3) is liable to pay a penalty equal to an amount determined in prescribed manner. Waiving or cancelling penalties The Minister may, on or before the day that is 10 calendar years after the end of a reporting period of a person, or on application by the person on or before that day, waive or cancel all or any portion of any penalty under this Part payable by the person in respect of the reporting period. Interest if amount waived or cancelled If a person has paid an amount of penalty and the Minister waives or cancels that amount under subsection (1), the Minister must pay interest on the amount paid by the person beginning on the day that is 30 days after the day on which the Minister received a request in a manner satisfactory to the Minister to apply that subsection and ending on the day on which the amount is rebated to the person. Failure to register Every person that is required to be registered under Division 4 of this Part but does not apply for registration under that Division as and when required is liable to pay a penalty of $2,000. General penalty Every person that fails to comply with any provision of this Part for which no other penalty is specified is liable to pay a penalty of $250. Failure to answer demand Every person that fails to file a return as and when required under a demand issued under section 92 is liable to a penalty of $500. Failure to provide information Every person that fails to provide any information or record as and when required under this Part is liable to a penalty of $250 for every failure unless, in the case of information required in respect of another person, a reasonable effort was made by the person to obtain the information. Every person that fails to report an amount prescribed by regulation, or to provide information prescribed by regulation, in a return prescribed by regulation as and when required, or that misstates such an amount or such information in such a return, is liable to pay a penalty, in addition to any other penalty under this Part, equal to an amount determined in prescribed manner for each such failure or misstatement by the person. False statements or omissions Every person that knowingly, or under circumstances amounting to gross negligence, makes or participates in, assents to or acquiesces in the making of a false statement or omission in a return, application, form, certificate, statement, invoice or answer (each of which is in this section referred to as a “return”) is liable to pay a penalty of the greater of $500 and 25% of the total of if the false statement or omission is relevant to the determination of an amount payable under this Part by the person, the amount, if any, by which the amount payable exceeds the amount that would be payable by the person if the amount payable were determined on the basis of the information provided in the return, and if the false statement or omission is relevant to the determination of a rebate or any other payment that may be obtained under this Part, the amount, if any, by which the amount that would be the rebate or other payment payable to the person if the rebate or other payment were determined on the basis of the information provided in the return the amount of the rebate or other payment payable to the person. Offence for failure to file return or to comply with demand or order Every person that fails to file or make a return as and when required under this Part or that fails to comply with an obligation under subsection 104(6) or (9) or section 106, or an order made under section 137, is guilty of an offence and, in addition to any penalty otherwise provided, is liable on summary conviction to a fine of not less than $2,000 and not more than $40,000 or to imprisonment for a term not exceeding 12 months, or to both. Saving A person that is convicted of an offence under subsection (1) for a failure to comply with a provision of this Part is not liable to pay a penalty under this Part for the same failure, unless a notice of assessment for the penalty was issued before the information or complaint giving rise to the conviction was laid or made. Offences for false or deceptive statement Every person commits an offence that makes, or participates in, assents to or acquiesces in the making of, a false or deceptive statement in a return, application, certificate, statement, document, record or answer filed or made as required under this Part; for the purposes of evading payment of any amount payable under this Part, or obtaining a rebate or other payment payable under this Part to which the person is not entitled, destroys, alters, mutilates, conceals or otherwise disposes of any records of a person, or makes, or assents to or acquiesces in the making of, a false or deceptive entry, or omits, or assents to or acquiesces in the omission, to enter a material particular in the records of a person; intentionally, in any manner, evades or attempts to evade compliance with this Part or payment of an amount payable under this Part; intentionally, in any manner, obtains or attempts to obtain a rebate or other payment payable under this Part to which the person is not entitled; or conspires with any person to commit an offence described in any of paragraphs (a) to (d). Punishment Every person that commits an offence under subsection (1) is guilty of an offence punishable on summary conviction and, in addition to any penalty otherwise provided, is liable to a fine of not less than 50%, and not more than 200%, of the amount payable that was sought to be evaded, or of the rebate or other payment sought, or, if the amount that was sought to be evaded cannot be ascertained, a fine of not less than $2,000 and not more than $40,000; imprisonment for a term not exceeding two years; or both a fine referred to in paragraph (a) and imprisonment for a term not exceeding two years. Prosecution on indictment Every person that is charged with an offence described in subsection (1) may, at the election of the Attorney General of Canada, be prosecuted on indictment and, if convicted, is, in addition to any penalty otherwise provided, liable to a fine of not less than 100%, and not more than 200%, of the amount payable that was sought to be evaded, or of the rebate or other payment sought, or, if the amount that was sought to be evaded cannot be ascertained, a fine of not less than $5,000 and not more than $100,000; imprisonment for a term not exceeding five years; or both a fine referred to in paragraph (a) and imprisonment for a term not exceeding five years. Penalty on conviction A person that is convicted of an offence under this section is not liable to pay a penalty imposed under this Part for the same evasion or attempt unless a notice of assessment for that penalty was issued before the information or complaint giving rise to the conviction was laid or made. Stay of appeal If, in any appeal under this Part, substantially the same facts are at issue as those that are at issue in a prosecution under this section, the Minister may file a stay of proceedings with the Tax Court of Canada and, upon that filing, the proceedings before the Tax Court of Canada are stayed pending a final determination of the outcome of the prosecution. Offence — confidential information A person is guilty of an offence and liable on summary conviction to a fine not exceeding $5,000 or to imprisonment for a term not exceeding 12 months, or to both, if that person contravenes subsection 107(2); or knowingly contravenes an order made under subsection 107(12). Every person to whom confidential information has been provided for a particular purpose under subsection 107(6) or (7) and that for any other purpose knowingly uses, provides to any person, allows the provision to any person of, or allows any person access to, that information is guilty of an offence and liable on summary conviction to a fine not exceeding $5,000 or to imprisonment for a term not exceeding 12 months, or to both. Definition of confidential information In this section, confidential information has the same meaning as in subsection 107(1). Failure to pay charge Every person that intentionally fails to pay a charge as and when required under this Part is guilty of an offence punishable on summary conviction and liable, in addition to any penalty or interest otherwise provided, to a fine not exceeding the aggregate of $1,000 and an amount equal to 20% of the amount of charge that should have been paid; imprisonment for a term not exceeding six months; or both a fine referred to in paragraph (a) and imprisonment for a term not exceeding six months. General offence Every person that fails to comply with any provision of this Part for which no other offence is specified in this Part is guilty of an offence punishable on summary conviction and liable to a fine of not more than $100,000 or to imprisonment for a term of not more than 12 months, or to both. Compliance orders If a person is convicted by a court of an offence for a failure to comply with a provision of this Part, the court may make any order that it deems appropriate to enforce compliance with the provision. Officers of corporations, etc. If a person other than an individual commits an offence under this Part, every officer, director or representative of the person that directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and guilty of the offence and liable on conviction to the punishment provided for the offence, whether or not the person has been prosecuted or convicted. Power to decrease punishment Despite the Criminal Code or any other law, the court has, in any prosecution or proceeding under this Part, neither the power to impose less than the minimum fine fixed under this Part nor the power to suspend sentence. Information or complaint An information or complaint under this Part may be laid or made by any officer of the Canada Revenue Agency, by a member of the Royal Canadian Mounted Police or by any person authorized to do so by the Minister and, if an information or complaint purports to have been laid or made under this Part, it is deemed to have been laid or made by a person so authorized by the Minister and must not be called in question for lack of authority of the informant or complainant, except by the Minister or a person acting for the Minister or for Her Majesty in right of Canada. Two or more offences An information or complaint in respect of an offence under this Part may be for one or more offences, and no information, complaint, warrant, conviction or other proceeding in a prosecution under this Part is objectionable or insufficient by reason of the fact that it relates to two or more offences. Territorial jurisdiction An information or complaint in respect of an offence under this Part may be heard, tried or determined by any court having territorial jurisdiction where the accused is resident, carrying on a commercial activity, found, apprehended or in custody, despite that the matter of the information or complaint did not arise within that territorial jurisdiction. Limitation of prosecutions No proceeding by way of summary conviction in respect of an offence under this Part may be instituted more than five years after the day on which the subject matter of the proceedings arose, unless the prosecutor and the defendant agree that they may be instituted after the five years. By whom A person authorized by the Minister to do so may, at all reasonable times, for any purpose related to the administration or enforcement of this Part, inspect, audit or examine the records, processes, property or premises of a person that may be relevant in determining the obligations of that or any other person under this Part, or the amount of any rebate to which that or any other person is entitled under this Part and whether that person or any other person is in compliance with this Part. Powers of authorized person Subject to subsection (3), the authorized person may, at all reasonable times, for any purpose related to the administration or enforcement of this Part enter any place in which the authorized person reasonably believes the person keeps or should keep records, carries on any activity to which this Part applies or does anything in relation to that activity; and require any person to give the authorized person all reasonable assistance, to answer all proper questions relating to the administration or enforcement of this Part and to attend with the authorized person at a place designated by the authorized person, or by video-conference or by another form of electronic communication, and to answer the questions orally, and to answer the questions in writing, in any form specified by the authorized person; and require any person to give the authorized person all reasonable assistance with anything the authorized person is authorized to do under this Part. Prior authorization If any place referred to in subsection (2) is a dwelling-house, the authorized person may not enter that dwelling-house without the consent of the occupant, except under the authority of a warrant issued under subsection (4). Warrant to enter dwelling-house A judge may issue a warrant authorizing a person to enter a dwelling-house subject to the conditions specified in the warrant if, on ex parte application by the Minister, a judge is satisfied by information on oath that there are reasonable grounds to believe that the dwelling-house is a place referred to in subsection (2); entry into the dwelling-house is necessary for any purpose related to the administration or enforcement of this Part; and entry into the dwelling-house has been, or there are reasonable grounds to believe that entry will be, refused. Orders if entry not authorized If the judge is not satisfied that entry into the dwelling-house is necessary for any purpose related to the administration or enforcement of this Part, the judge may, to the extent that access was or may be expected to be refused and that a record or property is or may be expected to be kept in the dwelling-house, order the occupant of the dwelling-house to provide a person with reasonable access to any record or property that is or should be kept in the dwelling-house; and make any other order that is appropriate in the circumstances to carry out the purposes of this Part. Definition of dwelling-house In this section, dwelling-house means the whole or any part of a building or structure that is kept or occupied as a permanent or temporary residence, and includes a building within the curtilage of a dwelling-house that is connected to it by a doorway or by a covered and enclosed passageway; and a unit that is designed to be mobile and to be used as a permanent or temporary residence and that is being used as such a residence. Compliance order On summary application by the Minister, a judge may, despite section 137, order a person to provide any access, assistance, information or record sought by the Minister under section 106 or 141 if the judge is satisfied that the person was required under section 106 or 141 to provide the access, assistance, information or record and did not do so. Notice required An application under subsection (1) must not be heard before the end of five clear days from the day the notice of application is served on the person against which the order is sought. Judge may impose conditions The judge making an order under subsection (1) may impose any conditions in respect of the order that the judge considers appropriate. Contempt of court If a person fails or refuses to comply with an order, a judge may find the person in contempt of court and the person is subject to the processes and the punishments of the court to which the judge is appointed. An order by a judge under subsection (1) may be appealed to a court having appellate jurisdiction over decisions of the court to which the judge is appointed. An appeal does not suspend the execution of the order unless it is so ordered by a judge of the court to which the appeal is made. Search warrant A judge may, on ex parte application by the Minister, issue a warrant authorizing any person named in the warrant to enter and search any building, receptacle or place for any record or thing that may afford evidence of the commission of an offence under this Part and to seize the record or thing and, as soon as is practicable, bring it before, or make a report in respect of the record or thing to, the judge or, if that judge is unable to act, another judge of the same court, to be dealt with by the judge in accordance with this section. Evidence on oath An application under subsection (1) must be supported by information on oath establishing the facts on which the application is based. Issue of warrant A judge may issue a warrant referred to in subsection (1) if the judge is satisfied that there are reasonable grounds to believe that an offence under this Part has been committed; a record or thing that may afford evidence of the commission of the offence is likely to be found; and the building, receptacle or place specified in the application is likely to contain a record or thing referred to in paragraph (b). Contents of warrant A warrant issued under subsection (1) must refer to the offence for which it is issued, identify the building, receptacle or place to be searched and the person that is alleged to have committed the offence, and it must be reasonably specific as to any record or thing to be searched for and seized. Seizure Any person that executes a warrant issued under subsection (1) may seize, in addition to the record or thing referred to in that subsection, any other record or thing that the person believes on reasonable grounds affords evidence of the commission of an offence under this Part and must, as soon as is practicable, bring the record or thing before, or make a report in respect of the record or thing, the judge that issued the warrant or, if that judge is unable to act, another judge of the same court, to be dealt with by the judge in accordance with this section. Retention Subject to subsection (7), if any record or thing seized under subsection (1) or (5) is brought before a judge or a report in respect of the record or thing is made to a judge, the judge must, unless the Minister waives retention, order that it be retained by the Minister, that must take reasonable care to ensure that it is preserved until the conclusion of any investigation into the offence in relation to which the record or thing was seized or until it is required to be produced for the purposes of a criminal proceeding. Return of records or things seized If any record or thing seized under subsection (1) or (5) is brought before a judge or a report in respect of the record or thing is made to a judge, the judge may, on the judge’s own motion or on summary application by a person with an interest in the record or thing on three clear days notice of application to the Deputy Attorney General of Canada, order that the record or thing be returned to the person from which it was seized or the person that is otherwise legally entitled to the record or thing, if the judge is satisfied that the record or thing will not be required for an investigation or a criminal proceeding; or was not seized in accordance with the warrant or this section. Access and copies The person from which any record or thing is seized under this section is entitled, at all reasonable times and subject to any reasonable conditions that may be imposed by the Minister, to inspect the record or thing and, in the case of a document, to obtain one copy of the record at the expense of the Minister. Definition of foreign-based information or record For the purposes of this section, foreign-based information or record means any information or record that is available or located outside Canada and that may be relevant to the administration or enforcement of this Part. Requirement to provide foreign-based information Despite any other provision of this Part, the Minister may, by a notice served or sent in accordance with subsection (3.1), require a person resident in Canada or a non-resident person that carries on business in Canada to provide any foreign-based information or record. A notice referred to in subsection (2) must set out a reasonable period of time of not less than 90 days for the provision of the information or record; a description of the information or record being sought; and the consequences under subsection (8) to the person of the failure to provide the information or record being sought within the period of time set out in the notice. A notice referred to in subsection (2) may be sent electronically to a bank or credit union (as defined in subsection 123(1) of the Excise Tax Act) that has provided written consent to receive notices under subsection (2) electronically. Review of foreign information requirement If a person is served or sent a notice of a requirement under subsection (2), the person may, within 90 days after the day on which the notice was served or sent, apply to a judge for a review of the requirement. Powers on review On hearing an application under subsection (4) in respect of a requirement, a judge may confirm the requirement; vary the requirement if the judge is satisfied that it is appropriate in the circumstances; or set aside the requirement if the judge is satisfied that it is unreasonable. Related person For the purposes of subsection (5), a requirement to provide information or a record is not to be considered to be unreasonable because the information or record is under the control of, or available to, a non-resident person that is not controlled by the person on which the notice of the requirement under subsection (2) is served, or to which that notice is sent, if that person is related, within the meaning of section 6 of the Excise Act, 2001, to the non-resident person. The period of time between the day an application for the review of a requirement is made under subsection (4) and the day the review is decided must not be counted in the computation of the period of time set out in the notice of the requirement; and the period of time within which an assessment may be made under section 108 or 109. Consequence of failure If a person fails to comply substantially with a notice served or sent under subsection (2) and if the notice is not set aside under subsection (5), any court having jurisdiction in a civil proceeding relating to the administration or enforcement of this Part must, on motion of the Minister, prohibit the introduction by that person of any foreign-based information or record covered by that notice. Copies If any record is seized, inspected, audited, examined or provided under any of sections 96, 106 and 141 to 143, the person by whom it is seized, inspected, audited or examined or to whom it is provided or any officer of the Canada Revenue Agency may make or cause to be made one or more copies of it and, in the case of an electronic record, make or cause to be made a print-out of the electronic record, and any record purporting to be certified by the Minister or an authorized person to be a copy of the record, or to be a print-out of an electronic record, made under this section is evidence of the nature and content of the original record and has the same probative force as the original record would have if it were proven in the ordinary way. Compliance Every person must, unless the person is unable to do so, do everything the person is required to do by or pursuant to any of sections 106 and 141 to 145 and no person is to, physically or otherwise, do or attempt to do any of the following: interfere with, hinder or molest any official as defined in section 107 doing anything the official is authorized to do under this Part; or prevent any official from doing anything the official is authorized to do under this Part. Information respecting non-resident persons Every person that is liable, at any time in a calendar year, to pay an amount of charge under this Part must, in respect of each non-resident person with which it was not, in prescribed circumstances, dealing at arm’s length at any time in the year, file with the Minister, within six months after the end of the year, prescribed information for the year in respect of transactions with that person. action means an action to collect a charge debt of a person and includes a proceeding in a court and anything done by the Minister under any of sections 152 to 157. (action) charge debt means any amount payable by a person under this Part. (dette) legal representative of a person means a trustee in bankruptcy, an assignee, a liquidator, a curator, a receiver of any kind, a trustee, an heir, an administrator, an executor, a liquidator of a succession, a committee, or any other like person, administering, winding up, controlling or otherwise dealing in a representative or fiduciary capacity with any property, business, commercial activity or estate or succession that belongs or belonged to, or that is or was held for the benefit of, the person or the person’s estate or succession. (représentant légal) Debts to Her Majesty A charge debt is a debt due to Her Majesty in right of Canada and is recoverable as such in the Federal Court or any other court of competent jurisdiction or in any other manner provided under this Part. Court proceedings The Minister may not commence a proceeding in a court to collect a charge debt of a person in respect of an amount that may be assessed under this Part, unless when the proceeding is commenced the person has been or may be assessed for that amount. No actions after limitation period The Minister may not commence an action to collect a charge debt after the end of the limitation period for the collection of the charge debt. Limitation period The limitation period for the collection of a charge debt of a person begins if a notice of assessment in respect of the charge debt, or a notice referred to in subsection 158(1) in respect of the charge debt, is sent to or served on the person, on the last day on which one of those notices is sent or served, and if no notice referred to in subparagraph (i) in respect of the charge debt was sent or served, on the earliest day on which the Minister can commence an action to collect that charge debt; and ends, subject to subsection (9), on the day that is 10 years after the day on which it begins. Limitation period restarted The limitation period described in subsection (5) for the collection of a charge debt of a person restarts (and ends, subject to subsection (9), on the day that is 10 years after the day on which it restarts) on any day, before it would otherwise end, on which the person acknowledges the charge debt in accordance with subsection (7); all or part of the charge debt is deemed under section 85 to have been paid; the Minister commences an action to collect the charge debt; or the Minister assesses, under this Part, another person in respect of the charge debt. Acknowledgement of charge debts A person acknowledges a charge debt if the person promises, in writing, to pay the charge debt; makes a written acknowledgement of the charge debt, whether or not a promise to pay can be inferred from the acknowledgement and whether or not it contains a refusal to pay; or makes a payment, including a purported payment by way of a negotiable instrument that is dishonoured, on account of the charge debt. Agent or mandatary or legal representative For the purposes of this section, an acknowledgement made by a person’s agent or mandatary or legal representative has the same effect as if it were made by the person. Extension of limitation period In computing the day on which a limitation period ends, there must be added the number of days on which one or more of the following is the case: the Minister has postponed collection action against the person under subsection (12) in respect of the charge debt; the Minister has accepted and holds security in lieu of payment of the charge debt; if the person was resident in Canada on the applicable date described in paragraph (5)(a) in respect of the charge debt, the person is non-resident; the Minister may not, because of any of subsections 150(2) to (5), take any of the actions described in subsection 150(1) in respect of the charge debt; or an action that the Minister may otherwise take in respect of the charge debt is restricted or not permitted under any provision of the Bankruptcy and Insolvency Act, of the Companies’ Creditors Arrangement Act or of the Farm Debt Mediation Act. Assessment before collection The Minister may not take any collection action under sections 152 to 157 in respect of any amount payable by a person that may be assessed under this Part, other than interest under section 97, unless the amount has been assessed. If the Minister sends a notice of assessment to a person, any amount assessed then remaining unpaid is payable forthwith by the person to the Receiver General. Minister may postpone collection The Minister may, subject to any terms and conditions that the Minister may stipulate, postpone collection action against a person in respect of all or any part of any amount assessed that is the subject of a dispute between the Minister and the person. Interest on judgments If a judgment is obtained for any amount payable under this Part, including a certificate registered under section 152, the provisions of this Part by which interest is payable for a failure to pay an amount apply, with any modifications that the circumstances require, to the failure to pay the judgment debt, and the interest is recoverable in like manner as the judgment debt. Litigation costs If an amount is payable by a person to Her Majesty in right of Canada because of an order, judgment or award of a court in respect of the costs of litigation relating to a matter to which this Part applies, sections 149 and 152 to 158 apply to the amount as if it were payable under this Part. The Minister may, if the Minister considers it advisable, accept security in an amount and a form satisfactory to the Minister for the payment of any amount that is or may become payable under this Part. Surrender of excess security If a person that has given security, or on whose behalf security has been given, under this section requests in writing that the Minister surrender the security or any part of it, the Minister must surrender the security to the extent that its value exceeds, at the time the request is received by the Minister, the amount that is sought to be secured. Collection restrictions If a person is liable for the payment of an amount under this Part, the Minister must not, for the purpose of collecting the amount, take any of the following actions until the end of 90 days after the date of a notice of assessment under this Part in respect of the amount: commence legal proceedings in a court; certify the amount under section 152; require a person to make a payment under subsection 153(1); require an institution or a person to make a payment under subsection 153(2); require a person to turn over moneys under subsection 156(1); or give a notice, issue a certificate or make a direction under subsection 157(1). No action after service of notice of objection If a person has served a notice of objection under this Part to an assessment of an amount payable under this Part, the Minister must not, for the purpose of collecting the amount in controversy, take any of the actions described in subsection (1) until the end of 90 days after the date of the notice to the person that the Minister has confirmed or varied the assessment. No action after making appeal to Tax Court If a person has appealed to the Tax Court of Canada from an assessment of an amount payable under this Part, the Minister must not, for the purpose of collecting the amount in controversy, take any of the actions described in subsection (1) before the earlier of the day on which a copy of the decision of the Court is mailed to the person and the day on which the person discontinues the appeal. No action pending determination by Tax Court If a person has agreed under subsection 121(1) that a question should be determined by the Tax Court of Canada, or if a person is served with a copy of an application made under subsection 122(1) to that Court for the determination of a question, the Minister must not take any of the actions described in subsection (1) for the purpose of collecting that part of an amount assessed, the liability for payment of which could be affected by the determination of the question, before the day on which the question is determined by the Court. Action after judgment Despite any other provision in this section, if a person has served a notice of objection under this Part to an assessment or has appealed to the Tax Court of Canada from an assessment and agrees in writing with the Minister to delay proceedings on the objection or appeal, as the case may be, until judgment has been given in another action before the Tax Court of Canada, the Federal Court of Appeal or the Supreme Court of Canada in which the issue is the same or substantially the same as that raised in the objection or appeal of the person, the Minister may take any of the actions described in subsection (1) for the purpose of collecting the amount assessed, or a part of it, determined in a manner consistent with the judgment of the Court in the other action at any time after the Minister notifies the person in writing that the judgment has been given by the Court in the other action. Collection of large amounts Despite subsections (1) to (5), if, at any time, the total of all amounts that a person has been assessed under this Part and that remain unpaid exceeds $1,000,000, the Minister may collect up to 50% of the total. Over $10,000,000 — security The Minister may, by sending a notice to a person, require security in a form satisfactory to the Minister and in an amount up to a specified amount that is the greater of zero dollars and the amount that is determined by the formula is the total of all amounts, each of which is an amount that the person has been assessed under this Part in respect of which a portion remains unpaid, is the greater of zero dollars and the amount that is determined by the formula is the total of all amounts that the person has paid against the amount determined for A in the first formula in this subsection, and is the amount determined for A in the first formula in this subsection. When security to be given The security required under subsection (1) must be given to the Minister no later than 60 days after the day on which the Minister required the security; and must be in a form satisfactory to the Minister. Despite subsections 150(1) to (5), the Minister may collect an amount equivalent to the amount of security that was required under subsection (1) if the security required under that subsection is not given to the Minister as set out in this section. Certificates Any amount payable by a person (in this section referred to as the “debtor”) under this Part that has not been paid as and when required under this Part may be certified by the Minister as an amount payable by the debtor. Registration in court On production to the Federal Court, a certificate made under subsection (1) in respect of a debtor must be registered in the Court and when so registered has the same effect, and all proceedings may be taken on the certificate, as if it were a judgment obtained in the Court against the debtor for a debt in the amount certified plus interest on the amount as provided under this Part to the day of payment and, for the purposes of those proceedings, the certificate is deemed to be a judgment of the Court against the debtor for a debt due to Her Majesty in right of Canada and enforceable as such. Costs All reasonable costs and charges incurred or paid for the registration in the Federal Court of a certificate made under subsection (1) or in respect of any proceedings taken to collect the amount certified are recoverable in like manner as if they had been included in the amount certified in the certificate when it was registered. Charge on property A document issued by the Federal Court evidencing a registered certificate in respect of a debtor, a writ of that Court issued pursuant to the certificate or any notification of the document or writ (which document, writ or notification is in this section referred to as a “memorial”) may be filed, registered or otherwise recorded for the purpose of creating a charge, lien or priority on, or a binding interest in property in a province, or any interest in, or for civil law any right in, such property, held by the debtor, in the same manner as a document evidencing a judgment of the superior court of the province against a person for a debt owing by the person, or an amount payable or required to be remitted by a person in the province in respect of a debt owing to Her Majesty in right of the province may be filed, registered or otherwise recorded in accordance with the law of the province to create a charge, lien or priority on, or a binding interest in, the property or interest. Creation of charge If a memorial has been filed, registered or otherwise recorded under subsection (4), a charge, lien or priority is created on, or a binding interest is created in, property in the province, or any interest in, or for civil law any right in, such property, held by the debtor, or such property, or interest or right in the property, is otherwise bound, in the same manner and to the same extent as if the memorial were a document evidencing a judgment referred to in paragraph (4)(a) or an amount referred to in paragraph (4)(b), and the charge, lien, priority or binding interest created is subordinate to any charge, lien, priority or binding interest in respect of which all steps necessary to make it effective against other creditors were taken before the time the memorial was filed, registered or otherwise recorded. Proceedings in respect of memorial If a memorial is filed, registered or otherwise recorded in a province under subsection (4), proceedings may be taken in the province in respect of the memorial, including proceedings to enforce payment of the amount evidenced by the memorial, interest on the amount and all costs and charges paid or incurred in respect of the filing, registration or other recording of the memorial, and proceedings taken to collect the amount, to renew or otherwise prolong the effectiveness of the filing, registration or other recording of the memorial, to cancel or withdraw the memorial wholly or in respect of any of the property, or interests or rights, affected by the memorial, or to postpone the effectiveness of the filing, registration or other recording of the memorial in favour of any right, charge, lien or priority that has been or is intended to be filed, registered or otherwise recorded in respect of any property, or interest or rights, affected by the memorial, in the same manner and to the same extent as if the memorial were a document evidencing a judgment referred to in paragraph (4)(a) or an amount referred to in paragraph (4)(b), except that, if in any such proceeding or as a condition precedent to any such proceeding, any order, consent or ruling is required under the law of the province to be made or given by the superior court of the province or by a judge or official of the court, a like order, consent or ruling may be made or given by the Federal Court or by a judge or official of the Federal Court and, when so made or given, has the same effect for the purposes of the proceeding as if it were made or given by the superior court of the province or by a judge or official of the court. Presentation of documents a memorial is presented for filing, registration or other recording under subsection (4), or a document relating to the memorial is presented for filing, registration or other recording for the purpose of any proceeding described in subsection (6), to any official in the land registry system, personal property or movable property registry system, or other registry system, of a province, or access is sought to any person, place or thing in a province to make the filing, registration or other recording, the memorial or document must be accepted for filing, registration or other recording or the access must be granted, as the case may be, in the same manner and to the same extent as if the memorial or document relating to the memorial were a document evidencing a judgment referred to in paragraph (4)(a) or an amount referred to in paragraph (4)(b) for the purpose of a like proceeding, except that, if the memorial or document is issued by the Federal Court or signed or certified by a judge or official of the Court, any affidavit, declaration or other evidence required under the law of the province to be provided with or to accompany the memorial or document in the proceedings is deemed to have been provided with or to have accompanied the memorial or document as so required. Prohibition — sale, etc., without consent Despite any law of Canada or of a province, a sheriff or other person must not, without the written consent of the Minister, sell or otherwise dispose of any property or publish any notice or otherwise advertise in respect of any sale or other disposition of any property pursuant to any process issued or charge, lien, priority or binding interest created in any proceeding to collect an amount certified in a certificate made under subsection (1), interest on the amount or costs. However, if that consent is subsequently given, any property that would have been affected by that process, charge, lien, priority or binding interest if the Minister’s consent had been given at the time that process was issued or the charge, lien, priority or binding interest was created, as the case may be, is bound, seized, attached, charged or otherwise affected as it would be if that consent had been given at the time that process was issued or the charge, lien, priority or binding interest was created, as the case may be. Completion of notices, etc. If information required to be set out by any sheriff or other person in a minute, notice or document required to be completed for any purpose cannot, because of subsection (8), be so set out without the written consent of the Minister, the sheriff or other person must complete the minute, notice or document to the extent possible without that information and, when that consent of the Minister is given, a further minute, notice or document setting out all the information must be completed for the same purpose, and the sheriff or other person, having complied with this subsection, is deemed to have complied with this Part, regulation or rule requiring the information to be set out in the minute, notice or document. Application for order A sheriff or other person that is unable, because of subsection (8) or (9), to comply with any law or rule of court is bound by any order made by a judge of the Federal Court, on an ex parte application by the Minister, for the purpose of giving effect to the proceeding, charge, lien, priority or binding interest. Secured claims If a charge, lien, priority or binding interest created under subsection (5) by filing, registering or otherwise recording a memorial under subsection (4) is registered in accordance with subsection 87(1) of the Bankruptcy and Insolvency Act, it is deemed to be a claim that is secured by a security and that, subject to subsection 87(2) of that Act, ranks as a secured claim under that Act; and to also be a claim referred to in paragraph 86(2)(a) of that Act.

Details in certificates and memorials Despite any law of Canada or of a province, in any certificate in respect of a debtor, any memorial evidencing a certificate or any writ or document issued for the purpose of collecting an amount certified, it is sufficient for all purposes to set out, as the amount payable by the debtor, the total of amounts payable by the debtor without setting out the separate amounts making up that total; and to refer to the rate of interest or penalty to be charged on the separate amounts making up the amount payable in general terms in the case of interest, as interest at the prescribed rate under this Part applicable from time to time on amounts payable to the Receiver General, without indicating the specific rates of interest to be charged on each of the separate amounts or to be charged for any period; and in the case of a penalty, the penalty calculated under section 123 on amounts payable to the Receiver General. Garnishment If the Minister has knowledge or suspects that a person is, or will be within one year, liable to make a payment to another person that is liable to pay an amount under this Part (in this section referred to as a “debtor”), the Minister may, by notice in writing, require the person to pay without delay, if the money is immediately payable, and in any other case, as and when the money is payable, the money otherwise payable to the debtor in whole or in part to the Receiver General on account of the debtor’s liability under this Part. Garnishment of loans or advances Without limiting the generality of subsection (1), if the Minister has knowledge or suspects that within 90 days a bank, credit union, trust company or other similar person (in this section referred to as an “institution”) will loan or advance money to, or make a payment on behalf of, or make a payment in respect of a negotiable instrument issued by, a debtor that is indebted to the institution and that has granted security in respect of the indebtedness, or a person, other than an institution, will loan or advance money to, or make a payment on behalf of, a debtor that the Minister knows or suspects is employed by, or is engaged in providing services or property to, that person or was or will be, within 90 days, so employed or engaged, or if that person is a corporation, is not dealing at arm’s length with that person, the Minister may, by notice in writing, require the institution or person, as the case may be, to pay in whole or in part to the Receiver General on account of the debtor’s liability under this Part the money that would otherwise be so loaned, advanced or paid. Effect of receipt A receipt issued by the Minister for money paid as required under this section is a good and sufficient discharge of the original liability to the extent of the payment. Effect of requirement If the Minister has, under this section, required a person to pay to the Receiver General on account of the liability under this Part of a debtor money otherwise payable by the person to the debtor as interest, rent, remuneration, a dividend, an annuity or other periodic payment, the requirement applies to all such payments to be made by the person to the debtor until the liability under this Part is satisfied and operates to require payments to the Receiver General out of each such payment of any amount that is stipulated by the Minister in a notice in writing. Every person that fails to comply with a requirement under subsection (1) or (4) is liable to pay to Her Majesty in right of Canada an amount equal to the amount that the person was required under that subsection to pay to the Receiver General. Every institution or person that fails to comply with a requirement under subsection (2) with respect to money to be loaned, advanced or paid is liable to pay to Her Majesty in right of Canada an amount equal to the lesser of the total of money so loaned, advanced or paid, and the amount that the institution or person was required under that subsection to pay to the Receiver General. The Minister may assess any person for any amount payable under this section by the person to the Receiver General and, if the Minister sends a notice of assessment, sections 87 and 108 to 122 apply with any modifications that the circumstances require. Time limit An assessment of an amount payable under this section by a person to the Receiver General is not to be made more than four years after the notice from the Minister requiring the payment was received by the person. Effect of payment as required If an amount that would otherwise have been advanced, loaned or paid to or on behalf of a debtor is paid by a person to the Receiver General in accordance with a notice from the Minister issued under this section or with an assessment under subsection (7), the person is deemed for all purposes to have advanced, loaned or paid the amount to or on behalf of the debtor. Recovery by deduction or set-off If a person is indebted to Her Majesty in right of Canada under this Part, the Minister may require the retention by way of deduction or set-off of any amount that the Minister may specify out of any amount that may be or become payable to that person by Her Majesty in right of Canada. Acquisition of debtor’s property For the purpose of collecting debts owed by a person to Her Majesty in right of Canada under this Part, the Minister may purchase or otherwise acquire any interest in, or for civil law any right in, the person’s property that the Minister is given a right to acquire in legal proceedings or under a court order or that is offered for sale or redemption and may dispose of any interest or right so acquired in any manner that the Minister considers reasonable. Money seized from debtor If the Minister has knowledge or suspects that a person is holding money that was seized by a police officer in the course of administering or enforcing the criminal law of Canada from another person that is liable to pay any amount under this Part (in this section referred to as the “debtor”) and that is restorable to the debtor, the Minister may in writing require the person to turn over the money otherwise restorable to the debtor, in whole or in part, to the Receiver General on account of the debtor’s liability under this Part. Receipt of Minister A receipt issued by the Minister for money turned over as required under this section is a good and sufficient discharge of the requirement to restore the money to the debtor to the extent of the amount so turned over. If a person fails to pay an amount as required under this Part, the Minister may in writing give 30 days notice to the person, addressed to their latest known address, of the Minister’s intention to direct that the person’s things be seized and disposed of. If the person fails to make the payment before the expiry of the 30 days, the Minister may issue a certificate of the failure and direct that the person’s things be seized. Disposition Things that have been seized under subsection (1) must be kept for 10 days at the expense and risk of the owner. If the owner does not pay the amount due together with all expenses within the 10 days, the Minister may dispose of the things in a manner the Minister considers appropriate in the circumstances. Proceeds of disposition Any surplus resulting from a disposition, after deduction of the amount owing and all expenses, must be paid or returned to the owner of the things seized. Exemptions from seizure Any thing of any person in default that would be exempt from seizure under a writ of execution issued by a superior court of the province in which the seizure is made is exempt from seizure under this section. Person leaving Canada or defaulting If the Minister suspects that a person has left or is about to leave Canada, the Minister may, before the day otherwise fixed for payment, by notice to the person served personally or sent by confirmed delivery service addressed to their latest known address, demand payment of any amount for which the person is liable under this Part or would be so liable if the time for payment had arrived, and the amount must be paid without delay despite any other provision of this Part. If a person fails to pay an amount required under subsection (1), the Minister may direct that things of the person be seized, and subsections 157(2) to (4) apply, with any modifications that the circumstances require. assessed period of a person, in respect of an authorization under subsection (2) relating to a particular reporting period of the person, means if the hearing date is before the last day of the particular reporting period, the period beginning on the first day of the particular reporting period and ending on the assessment date; and in any other case, the particular reporting period. (période visée) assessment date in respect of an authorization under subsection (2) means the day immediately before the hearing date. (date de cotisation) hearing date in respect of an authorization under subsection (2) means the day on which a judge hears the application for the authorization. (date d’audience) Authorization to assess and take collection action Despite section 150, if, on ex parte application by the Minister relating to a particular reporting period of a person, a judge is satisfied that there are reasonable grounds to believe that the net charge for the period, determined without reference to this section, would be a positive amount and that the collection of all or any part of that net charge would be jeopardized by a delay in its collection, the judge must, on any terms that the judge considers reasonable in the circumstances, authorize the Minister to, without delay, assess the net charge for the assessed period, determined in accordance with subsection (3); and take any of the actions described in sections 152 to 157 in respect of that amount. Effect of authorization For the purposes of this Part, if an authorization is granted under subsection (2) in respect of an application relating to a particular reporting period of a person, if the hearing date is before the last day of the particular reporting period, the following periods are each deemed to be a separate reporting period of the person: the assessed period, and the period beginning on the hearing date and ending on the last day of the particular reporting period; the day on or before which the person is required to file a return under section 69 for the assessed period is deemed to be the hearing date; the net charge for the assessed period is deemed to be equal to the amount that would be the net charge for the period if, on the assessment date, the person were to claim in a return filed under section 69 for the period all amounts, each of which is an amount that the person would be entitled on that day to claim as a rebate for the period or as a negative amount that is required to be added in determining the net charge for the period; the net charge for the assessed period is deemed to have become due to the Receiver General on the hearing date; if, in assessing the net charge for the assessed period, the Minister takes into account an amount that the person would be entitled to claim as a rebate or a negative amount that is required to be added in determining the net charge, the person is deemed to have claimed the amount in a return filed under section 69 for the assessed period; and subsection 73(2) and sections 97, 123, 129 and 130 apply as if the net charge for the assessed period were not required to be paid, and the return for that period were not required to be filed, until the last day of the period described in subsection (9). Affidavits Statements contained in an affidavit filed in the context of an application under this section may be based on belief in which case it must include the grounds for that belief. Service of authorization and notice of assessment An authorization granted under subsection (2) in respect of a person must be served by the Minister on the person within 72 hours after it is granted, except if the judge orders the authorization to be served at some other time specified in the authorization, and a notice of assessment for the assessed period must be served on the person together with the authorization. How service effected For the purpose of subsection (5), service on a person must be effected by personal service on the person or service in accordance with the directions of a judge. Application to judge for direction If service cannot reasonably be effected as and when required under this section, the Minister may, as soon as practicable, apply to a judge for further direction. Review of authorization If a judge of a court has granted an authorization under subsection (2) in respect of a person, the person may, on six clear days notice to the Deputy Attorney General of Canada, apply to a judge of the court to review the authorization. Limitation period for review application An application by a person under subsection (8) to review an authorization must be made within 30 days after the day on which the authorization was served on the person in accordance with this section; or within any further time that a judge may allow, on being satisfied that the application was made as soon as practicable. Hearing in camera An application by a person under subsection (8) may, on the application of the person, be heard in private, if the person establishes to the satisfaction of the judge that the circumstances of the case justify proceedings heard in private. Disposition of application On an application under subsection (8), the judge must determine the question summarily and may confirm, vary or set aside the authorization and make any other order that the judge considers appropriate. Effect of setting aside authorization If an authorization is set aside under subsection (11), subsection (3) does not apply in respect of the authorization and any assessment made as a result of the authorization is deemed to be void. Directions If any question arises as to the course to be followed in connection with anything done or being done under this section and there is no relevant direction in this section, a judge may give any direction with regard to the course to be followed that, in the opinion of the judge, is appropriate. No appeal from review order No appeal lies from an order of a judge made under subsection (11). Compliance by unincorporated bodies If any amount is required to be paid or any other thing is required to be done by or under this Part by a person (in this section referred to as the “body”) that is not an individual, partnership, corporation, trust, joint venture, or estate or succession of a deceased individual, it is the joint and several, or solidary, liability and responsibility of every member of the body holding office as president, chairperson, treasurer, secretary or similar officer of the body, if there are no officers of the body referred to in paragraph (a), every member of any committee having management of the affairs of the body, and if there are no officers of the body referred to in paragraph (a) and no committee referred to in paragraph (b), every member of the body, to pay that amount or to comply with the requirement, and if the amount is paid or the requirement is fulfilled by an officer of the body referred to in paragraph (a), a member of a committee referred to in paragraph (b) or a member of the body, it is considered as compliance with the requirement. The Minister may assess any person for any amount for which the person is liable under this section and, if the Minister sends a notice of assessment, sections 87 and 108 to 122 are applicable, with any modifications that the circumstances require. An assessment of a person under subsection (2) must not include any amount that the body was liable to pay before the day the person became jointly and severally, or solidarily, liable; include any amount that the body became liable to pay after the day the person ceased to be jointly and severally, or solidarily, liable; or be made more than two years after the day on which the person ceased to be jointly and severally, or solidarily, liable unless the person was grossly negligent in the carrying out of any obligation imposed on the body by or under this Part or made, or participated in, assented to or acquiesced in the making of, a false statement or omission in a return, application, form, certificate, statement, invoice or answer made by the body. Definition of transaction In this section, transaction includes an arrangement or event. Charge liability — transfers not at arm’s length If at any time a person transfers property, either directly or indirectly, by means of a trust or by any other means, to the transferor’s spouse or common-law partner or an individual that has since become the transferor’s spouse or common-law partner, an individual that was under 18 years of age, or another person with whom the transferor was not dealing at arm’s length, the transferee and transferor are jointly and severally, or solidarily, liable to pay under this Part an amount equal to the lesser of the amount determined by the formula is the amount, if any, by which the fair market value of the property at that time exceeds the fair market value at that time of the consideration given by the transferee for the transfer of the property, and is the amount, if any, by which the amount assessed the transferee under subsection 325(2) of the Excise Tax Act, paragraph 97.44(1)(b) of the Customs Act, subsection 160(2) of the Income Tax Act, subsection 297(3) of the Excise Act, 2001, subsection 80(3) of the Underused Housing Tax Act or subsection 150(4) of the Select Luxury Items Tax Act in respect of the property exceeds the amount paid by the transferor in respect of the amount so assessed, and the total of all amounts each of which is an amount that the transferor is liable to pay under this Part for the reporting period of the transferor that includes that time or any preceding reporting period of the transferor, or interest or penalty for which the transferor is liable as of that time, but nothing in this subsection limits the liability of the transferor under this Part. Fair market value of undivided interest For the purpose of this section, the fair market value at any time of an undivided interest in a property, expressed as a proportionate interest in that property, is, subject to subsection (5), deemed to be equal to the same proportion of the fair market value of that property at that time. The Minister may at any time assess a transferee in respect of any amount payable by reason of this section, and the provisions of sections 87 and 108 to 122 apply, with any modifications that the circumstances require. Rules applicable If a transferor and transferee have, by reason of subsection (1), become jointly and severally, or solidarily, liable in respect of part or all of the liability of the transferor under this Part, the following rules apply: a payment by the transferee on account of the transferee’s liability must, to the extent of the payment, discharge their liability; and a payment by the transferor on account of the transferor’s liability only discharges the transferee’s liability to the extent that the payment operates to reduce the transferor’s liability to an amount less than the amount in respect of which the transferee was, by subsection (1), made jointly and severally, or solidarily, liable. Transfers to spouse or common-law partner Despite subsection (1), if at any time an individual transfers property to the individual’s spouse or common-law partner under a decree, order or judgment of a competent tribunal or under a written separation agreement and, at that time, the individual and the individual’s spouse or common-law partner were separated and living apart as a result of the breakdown of their marriage or common-law partnership as defined in subsection 248(1) of the Income Tax Act, for the purposes of paragraph (1)(d), the fair market value at that time of the property so transferred is deemed to be nil, but nothing in this subsection limits the liability of the individual under this Part. Anti-avoidance rules For the purposes of this section, if a person transfers property to another person as part of a transaction or series of transactions, the following rules apply: the transferor is deemed to not be dealing at arm’s length with the transferee at the time of the transfer of the property if the transferor and the transferee do not deal at arm’s length at any time during the period beginning immediately prior to the transaction or series of transactions and ending immediately after the transaction or series of transactions, and it is reasonable to conclude that one of the purposes of undertaking or arranging the transaction or series of transactions is to avoid joint and several, or solidary, liability of the transferee and the transferor under this section for an amount payable under this Part; an amount that the transferor is liable to pay under this Part (including, for greater certainty, an amount that the transferor is liable to pay under this section, regardless of whether the Minister has made an assessment under subsection (3) in respect of that amount) is deemed to have become payable in the reporting period of the transferor in which the property was transferred, if it is reasonable to conclude that one of the purposes of the transfer of the property is to avoid the payment of a future amount payable under this Part by the transferor or transferee; and the amount determined for A in paragraph (1)(d) is deemed to be the greater of the amount otherwise determined for A in paragraph (1)(d) without reference to this paragraph, and is the fair market value of the property at the time of the transfer, and is the fair market value, at its lowest at any time during the period beginning immediately prior to the transaction or series of transactions and ending immediately after the transaction or series of transactions, of the consideration given by the transferee for the transfer of the property (other than any part of the consideration that is in a form that is cancelled or extinguished during that period and for which no property that is neither cancelled nor extinguished during that period is substituted) provided that the consideration is held by the transferor at that time. If the Minister is authorized or required to serve, issue or send a notice or other document on or to a person that is a partnership, the notice or document may be addressed to the name of the partnership; is a joint venture, the notice or document may be addressed to the name of the joint venture; is a union, the notice or document may be addressed to the name of the union; is a society, club, association, organization or other body, the notice or document may be addressed to the name of the body; and carries on business under a name or style other than the name of the person, the notice or document may be addressed to the name or style under which the person carries on business. Personal service If the Minister is authorized or required to serve, issue or send a notice or other document on or to a person that carries on a business, the notice or document is deemed to have been validly served, issued or sent if it is if the person is a partnership, served personally on one of the partners or left with an adult person employed at the place of business of the partnership; if the person is a joint venture, served personally on one of the participants in, or operators of, the joint venture or left with an adult person employed at the place of business of the joint venture; or left with an adult person employed at the place of business of the person. Timing of receipt For the purposes of this Part and subject to subsection (2), anything sent by confirmed delivery service or first class mail is deemed to have been received by the person to which it was sent on the day it was mailed or sent. Timing of payment A person that is required under this Part to pay an amount is deemed not to have paid it until it is received by the Receiver General. Proof of service If, under this Part, provision is made for sending by confirmed delivery service a request for information, a notice or a demand, an affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, is evidence of the sending and of the request, notice or demand if the affidavit sets out that the officer has knowledge of the facts in the particular case; the request, notice or demand was sent by confirmed delivery service on a specified day to a specified person and address; and the officer identifies as exhibits attached to the affidavit a true copy of the request, notice or demand and if the request, notice, or demand was sent by registered or certified mail, the post office certificate of registration of the letter or a true copy of the relevant portion of the certificate, and in any other case, the record that the document has been sent or a true copy of the relevant portion of the record. Proof of personal service If, under this Part, provision is made for personal service of a request for information, a notice or a demand, an affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, is evidence of the personal service and of the request, notice or demand if the affidavit sets out that the request, notice or demand was served personally on a named day on the person to whom it was directed; and the officer identifies as an exhibit attached to the affidavit a true copy of the request, notice or demand. Proof of electronic delivery If, under this Part, provision is made for sending a notice to a person electronically, an affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, is evidence of the sending and of the notice if the affidavit sets out that the notice was sent electronically to the person on a named day; and the officer identifies as exhibits attached to the affidavit copies of an electronic message confirming that the notice has been sent to the person, and the notice. Proof — failure to comply If, under this Part, a person is required to make a return, an application, a statement, an answer or a certificate, an affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that, after a careful examination and search of the records, the officer has been unable to find in a given case that the return, application, statement, answer or certificate has been made by that person, is evidence that in that case the person did not make the return, application, statement, answer or certificate. Proof — time of compliance If, under this Part, a person is required to make a return, an application, a statement, an answer or a certificate, an affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that, after a careful examination of the records, the officer has found that the return, application, statement, answer or certificate was filed or made on a particular day, is evidence that it was filed or made on that day. Proof of documents An affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that a document attached to the affidavit is a document or true copy of a document, or a printout of an electronic document, made by or on behalf of the Minister or a person exercising the powers of the Minister or by or on behalf of a person, is evidence of the nature and contents of the document. An affidavit of an officer of the Canada Border Services Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that a document attached to the affidavit is a document or true copy of a document, or a printout of an electronic document, made by or on behalf of the Minister of Public Safety and Emergency Preparedness or a person exercising the powers of that Minister or by or on behalf of a person, is evidence of the nature and contents of the document. Proof of no appeal An affidavit of an officer of the Canada Revenue Agency or the Canada Border Services Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and has knowledge of the practice of the Canada Revenue Agency or the Canada Border Services Agency, as the case may be, and that an examination of the records shows that a notice of assessment was mailed or otherwise sent to a person on a particular day under this Part and that, after a careful examination and search of the records, the officer has been unable to find that a notice of objection or of appeal from the assessment, as the case may be, was received within the time allowed, is evidence of the statements contained in the affidavit. Presumption If evidence is offered under this section by an affidavit from which it appears that the person making the affidavit is an officer of the Canada Revenue Agency or the Canada Border Services Agency, it is not necessary to prove the signature of the person or that the person is such an officer, nor is it necessary to prove the signature or official character of the person before whom the affidavit was sworn. Every document purporting to have been executed under or in the course of the administration or enforcement of this Part over the name in writing of the Minister, the Commissioner or an officer authorized to exercise the powers or perform the duties of the Minister under this Part is deemed to be a document signed, made and issued by the Minister, the Commissioner or the officer, unless it has been called into question by the Minister or a person acting for the Minister or for Her Majesty in right of Canada. Every document purporting to have been executed under or in the course of the administration or enforcement of this Part over the name in writing of the Minister of Public Safety and Emergency Preparedness, the President of the Canada Border Services Agency or an officer authorized to exercise the powers or perform the duties of that Minister under this Part is deemed to be a document signed, made and issued by that Minister, the President or the officer, unless it has been called into question by that Minister or a person acting for that Minister or for Her Majesty in right of Canada. Mailing or sending date For the purposes of this Part, if a notice or demand that the Minister is required or authorized under this Part to send to a person is mailed, or sent electronically, to the person, the day of mailing or sending, as the case may be, is presumed to be the date of the notice or demand. Date electronic notice sent For the purposes of this Part, if a notice or other communication in respect of a person, other than a notice or other communication that refers to the business number of a person, is made available in electronic format such that it can be read or perceived by a person or a computer system or other similar device, the notice or other communication is presumed to be sent to the person and received by the person on the date that an electronic message is sent, to the electronic address most recently provided before that date by the person to the Minister for the purposes of this subsection, informing the person that a notice or other communication requiring the person’s immediate attention is available in the person’s secure electronic account. A notice or other communication is considered to be made available if it is posted by the Minister in the person’s secure electronic account and the person has authorized that notices or other communications may be made available in this manner and has not before that date revoked that authorization in a manner specified by the Minister. Date electronic notice sent – business account For the purposes of this Part, a notice or other communication in respect of a person that is made available in electronic format such that it can be read or perceived by a person or computer system or other similar device and that refers to the business number of a person is presumed to be sent to the person and received by the person on the date that it is posted by the Minister in the secure electronic account in respect of the business number of the person, unless the person has requested, at least 30 days before that date, in a manner specified by the Minister, that such notices or other communications be sent by mail. Date assessment made If a notice of assessment has been sent by the Minister as required under this Part, the assessment is deemed to have been made on the day of sending of the notice of assessment. Proof of return In a prosecution for an offence under this Part, the production of a return, an application, a certificate, a statement or an answer required under this Part, purporting to have been filed or delivered by or on behalf of the person charged with the offence or to have been made or signed by or on behalf of that person, is evidence that the return, application, certificate, statement or answer was filed or delivered by or on behalf of that person or was made or signed by or on behalf of that person. Proof of return — printouts For the purposes of this Part, a document presented by the Minister purporting to be a printout of the information in respect of a person received under section 89 by the Minister is to be received as evidence and, in the absence of evidence to the contrary, is proof of the return filed by the person under that section. Proof of return — production of returns, etc. In a proceeding under this Part, the production of a return, an application, a certificate, a statement or an answer required under this Part, purporting to have been filed, delivered, made or signed by or on behalf of a person, is evidence that the return, application, certificate, statement or answer was filed, delivered, made or signed by or on behalf of that person. Evidence In a prosecution for an offence under this Part, an affidavit of an officer of the Canada Revenue Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that an examination of the records shows that an amount required under this Part to be paid to the Receiver General has not been received by the Receiver General, is evidence of the statements contained in the affidavit. Definition of net amount In this section, net amount in respect of a province or area and a period fixed by the Minister means the charges levied by Her Majesty in right of Canada under this Part in respect of the province or area and that period less any amounts in respect of the charges that are rebated, refunded or remitted under this Part or any other Act of Parliament in that period. Distribution For each province or area that is or was a listed province, the Minister must distribute the net amount for a period fixed by the Minister, if positive, in respect of the province or area. The Minister may distribute that net amount to the province; to persons that are prescribed persons, persons of a prescribed class or persons meeting prescribed conditions; or to a combination of the persons referred to in paragraphs (a) and (b). Despite subsection (2), if the Minister is not authorized, by reason of section 150, to take any action described under subsection 150(1) in respect of an amount payable by a person under this Part, the amount is not to be distributed by the Minister under this section. Distribution payment The amount of any distribution under subsection (2) is to be calculated in the manner determined by the Minister and may, subject to subsection (8), be paid by the Minister out of the Consolidated Revenue Fund at the times and in the manner that the Minister considers appropriate. Recovery If, at any time, the total amount of distributions made under subsection (2) in respect of a province or area, taking into account any amount recovered in respect of those distributions before that time, exceeds the total of all net amounts in respect of the province or area at that time, the amount of that excess may be recovered if distributions were made to the province, despite any other provision of this Act or the Federal-Provincial Fiscal Arrangements Act, from any payment payable to that province under this Act or the Federal-Provincial Fiscal Arrangements Act; and if distributions were made to a person referred to in paragraph (2)(b), from any sum of money that may be due or payable by Her Majesty in right of Canada to that person under this Act or any other Act of Parliament. Proportional recovery If distributions in respect of a province or area were made under subsection (2) to more than one person, any recovery in respect of a period fixed by the Minister from any of those persons is to be made in proportion of the distributions to that person of the total distributions made in respect of that province or area in respect of that period. Manner of calculation The amount of any recovery under this section is to be calculated in the manner determined by the Minister. Regulations The Governor in Council may make regulations prescribing the time and manner of paying any distribution under subsection (2); and generally to carry out the purposes of this section. prescribing anything that, by this Part, is to be prescribed or is to be determined or regulated by regulation; requiring any person to provide any information, including the person’s name, address, registration number or any information relating to Part 2 that may be required to comply with this Part, to any class of persons required to make a return containing that information; requiring any person to provide the Minister with the person’s Social Insurance Number; requiring any class of persons to make returns respecting any class of information required in connection with the administration or enforcement of this Part; distinguishing among any class of persons, provinces, areas, facilities, property, activities, fuels, substances, materials or things; and generally to carry out the purposes and provisions of this Part. Amendments to Part 1 of Schedule 1 For the purpose of ensuring that the pricing of greenhouse gas emissions is applied broadly in Canada at levels that the Governor in Council considers appropriate, the Governor in Council may, by regulation, amend Part 1 of Schedule 1, including by adding, deleting, varying or replacing any item or table. Factors In making a regulation under subsection (2), the Governor in Council shall take into account, as the primary factor, the stringency of provincial pricing mechanisms for greenhouse gas emissions. Amendments to Schedule 2 The Governor in Council may, by regulation, amend Schedule 2 respecting the application of the fuel charge under this Part including by adding, deleting, varying or replacing a table. Effect A regulation made under this Part is to have effect from the date it is published in the Canada Gazette or at such time thereafter as may be specified in the regulation, unless the regulation provides otherwise and has a non-tightening effect only; corrects an ambiguous or deficient enactment that was not in accordance with the objects of this Part; is consequential on an amendment to this Part that is applicable before the date the regulation is published in the Canada Gazette; is in respect of rules described in paragraph 168(2)(f); or gives effect to a public announcement, in which case the regulation must not, except if any of paragraphs (a) to (d) apply, have effect before the date the announcement was made. Incorporation by reference — limitation removed The limitation set out in paragraph 18.1(2)(a) of the Statutory Instruments Act, to the effect that a document must be incorporated as it exists on a particular date, does not apply to any power to make regulations under this Part. Definition of fuel charge system In this section, fuel charge system means the system under this Part, Part 1 of Schedule 1 and Schedule 2 providing for the payment and collection of charges levied under this Part and of amounts paid as or on account of charges under this Part and the provisions of this Part relating to charges under this Part or to rebates in respect of any such charges, or any such amounts, paid or deemed to be paid. Fuel charge system regulations The Governor in Council may make regulations, in relation to the fuel charge system, prescribing rules in respect of whether, how and when the fuel charge system applies and rules in respect of other aspects relating to the application of that system, including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when an amount under this Part became due or was paid, when fuel or a substance, material or thing was delivered, how and when an amount under this Part is required to be reported and accounted for and when any period begins and ends; prescribing rules in respect of whether, how and when a change in a rate, set out in any table in Schedule 2 for a type of fuel and for a province or area, applies and rules in respect of a change to another parameter affecting the application of the fuel charge system in relation to such a fuel or province or area, including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when an amount under this Part became due or was paid, when fuel or a substance, material or thing was delivered, how and when an amount under this Part is required to be reported and accounted for and when any period begins and ends; prescribing rules in respect of whether, how and when a change to the provinces or areas listed in Part 1 of Schedule 1 or referenced in Schedule 2 applies and rules in respect of a change to another parameter affecting the application of the fuel charge system in relation to a province or area or to a type of fuel, including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when an amount under this Part became due or was paid, when fuel or a substance, material or thing was delivered, how and when an amount under this Part is required to be reported and accounted for and when any period begins and ends; if an amount is to be determined in prescribed manner in relation to the fuel charge system, specifying the circumstances or conditions under which the manner applies; providing for rebates, adjustments or credits in respect of the fuel charge system; providing for rules allowing persons, which elect to have those rules apply, to have the provisions of this Part apply in a manner different from the manner in which those provisions would otherwise apply, including when an amount under this Part became due or was paid, when fuel or a substance, material or thing was delivered, how and when an amount under this Part is required to be reported or accounted for and when any period begins and ends; specifying circumstances and any terms or conditions that must be met for the payment of rebates in respect of the fuel charge system; prescribing amounts and rates to be used to determine any rebate, adjustment or credit that relates to, or is affected by, the fuel charge system, excluding amounts that would otherwise be included in determining any such rebate, adjustment or credit, and specifying circumstances under which any such rebate, adjustment or credit must not be paid or made; respecting information that must be included by a specified person in a written agreement or other document in respect of specified fuel or a specified substance, material or thing and prescribing charge-related consequences in respect of such fuel, substance, material or thing, and penalties, for failing to do so or for providing incorrect information; deeming, in specified circumstances, a specified amount of charge to be payable by a specified person, or a specified person to have paid a specified amount of charge, for specified purposes, as a consequence of holding fuel at a specified time; prescribing compliance measures, including anti-avoidance rules; and generally to effect the transition to, and implementation of, that system in respect of fuel or a substance, material, or thing and in respect of a province or area. Fuel charge system regulations — general For the purpose of facilitating the implementation, application, administration and enforcement of the fuel charge system, the Governor in Council may make regulations adapting or modifying any provision of this Part, Part 1 of Schedule 1 or Schedule 2; defining, for the purposes of this Part, Part 1 of Schedule 1 or Schedule 2, or any provision of this Part, Part 1 of Schedule 1 or Schedule 2, words or expressions used in this Part, Part 1 of Schedule 1 or Schedule 2 including words or expressions defined in a provision of this Part, Part 1 of Schedule 1 or Schedule 2; and providing that a provision of this Part, Part 1 of Schedule 1 or Schedule 2, or a part of such a provision, does not apply. Conflict If a regulation made under this Part in respect of the fuel charge system states that it applies despite any provision of this Part, in the event of a conflict between the regulation and this Part, the regulation prevails to the extent of the conflict. The following definitions apply in this Part. analyst means an individual or a member of a class of individuals designated as an analyst under subsection 201(1). (analyste) compliance period means a period specified in the regulations. (période de conformité) compliance unit means a surplus credit that is issued under section 175 or paragraph 178(1)(b), a unit or credit that is recognized under the regulations as a compliance unit or an offset credit that is issued under the regulations. (unité de conformité) covered facility means a facility, including a platform anchored at sea, that is located in a province or area that is set out in Part 2 of Schedule 1 and either meets the criteria set out in the regulations for that province or area; or is designated by the Minister under subsection 172(1). (installation assujettie) enforcement officer means an individual or a member of a class of individuals designated as an enforcement officer under subsection 201(1). (agent de l’autorité) greenhouse gas means a gas that is set out in column 1 of Schedule 3. (gaz à effet de serre) increased-rate compensation deadline means, in respect of a compliance period, the increased-rate compensation deadline specified for that period in the regulations. (délai de compensation à taux élevé) Indigenous peoples of Canada has the meaning assigned by the definition aboriginal peoples of Canada in subsection 35(2) of the Constitution Act, 1982. (peuples autochtones du Canada) Minister means the Minister of the Environment. (ministre) organization has the same meaning as in section 2 of the Criminal Code. (organisation) person means an individual or organization and includes Her Majesty in right of Canada or a province.

(personne) regular-rate compensation deadline means, in respect of a compliance period, the regular-rate compensation deadline specified for that period in the regulations. (délai de compensation à taux régulier) Conversion into CO2e tonnes For the purposes of this Part, a quantity of a greenhouse gas, expressed in tonnes, is converted into carbon dioxide equivalent tonnes (in this Part referred to as “CO2e tonnes”) by multiplying that quantity by the global warming potential set out for the greenhouse gas in column 2 of Schedule 3. Application for registration A person that is responsible for a covered facility must apply to the Minister for registration of that covered facility. The application must include the information specified by the Minister and be made in the time and manner specified by the Minister. If the Minister is satisfied that the applicant is a person responsible for the facility named in the application, that the facility is a covered facility and that the application meets the requirements of subsection (1), the Minister must register the covered facility and issue a covered facility certificate to the applicant. Cancellation The Minister must cancel the registration and the covered facility certificate of a facility that ceases to be a covered facility or that was not a covered facility at the time of registration. Notice setting out criteria If a notice referred to in subsection 194(1) sets out criteria respecting facilities and persons, a facility that meets the criteria is, for the purposes of this section, a covered facility as defined in section 169 and a person that meets the criteria is, for the purposes of this section, a person responsible for the facility. Notice cancelled If a facility is registered as a result of the publication of a notice referred to in subsection 194(1) and that notice is cancelled before any regulations or orders referred to in it are made, the Minister must cancel the facility’s registration and covered facility certificate. Designation of facility as covered facility On request by a person that is responsible for a facility that is located in a province or area that is set out in Part 2 of Schedule 1, the Minister may, in accordance with the regulations, designate the facility as a covered facility. The request must include the information specified by the Minister and be made in the time and manner specified by the Minister. If the Minister designates a facility as a covered facility, the request under subsection (1) is deemed to be an application for registration under subsection 171(1) and the Minister must register the covered facility. Cancellation of designation The Minister may, in accordance with the regulations, cancel the designation of a covered facility. Reporting requirement For each compliance period, a person that is responsible for a covered facility must, in accordance with the regulations, submit to the Minister a report that sets out the information that is specified in the regulations with respect to the greenhouse gas emissions limit that applies to the covered facility and any other information that is specified in the regulations; and cause the report to be verified by a third party. Compensation for excess emissions A person that is responsible for a covered facility that emits greenhouse gases in a quantity that exceeds the emissions limit that applies to the covered facility during a compliance period must, in accordance with the regulations, provide compensation for the excess emissions by the increased-rate compensation deadline. Provision of compensation The compensation is to be provided, at a rate set out in subsection (3) or (4), by means of a remittance of compliance units to the Minister or a person specified in the regulations in lieu of the Minister; an excess emissions charge payment to Her Majesty in right of Canada; or a combination of both. Regular rate If the compensation is provided by the regular-rate compensation deadline, the rate is one compliance unit for each CO2e tonne that was emitted in excess of the emissions limit; or the excess emissions charge set out in column 2 of Schedule 4, for the calendar year in which the compliance period falls, for each CO2e tonne that was emitted in excess of the emissions limit. Increased rate If the compensation is not provided in full by the regular-rate compensation deadline, the rate for each CO2e tonne that was emitted in excess of the emissions limit and for which no compensation was provided by that deadline is four times the rate set out in subsection (3). Charge continued If the compliance period falls in a year that is subsequent to the last calendar year set out in column 1 of Schedule 4, the excess emissions charge set out in column 2 for that last calendar year continues to apply for the purposes of paragraph (3)(b). Issuance of surplus credits If a covered facility emits greenhouse gases in a quantity that is below the emissions limit that applies to it during a compliance period, the Minister must, in accordance with the regulations, issue to a person that is responsible for the covered facility a number of surplus credits that is equal to the difference between that limit, expressed in CO2e tonnes, and the number of CO2e tonnes emitted. Errors and omissions If, within five years after submitting a report under section 173, a person that is responsible for a covered facility becomes aware of an error or omission in the report, the person must notify the Minister in writing as soon as possible. Corrected report If required by the regulations, the person must, in accordance with the regulations, submit a corrected report to the Minister; or submit a corrected report to the Minister and cause it to be verified by a third party. If, within five years after a report has been submitted under section 173 in respect of a covered facility, the Minister is of the opinion that there is an error or omission in the report, the Minister may require a person responsible for the covered facility to submit a corrected report and may require the person to cause it to be verified by a third party. If the Minister requires a person to submit a corrected report or to submit a corrected report and cause it to be verified by a third party, the person must do so in accordance with the regulations. Change in obligations If, as a result of a corrected report referred to in section 176 or 177, the difference between the quantity of the greenhouse gases emitted by a covered facility during a compliance period and the emissions limit that applied to the covered facility during that compliance period changes, a person that is responsible for the covered facility must, in accordance with the regulations, provide any compensation that is determined in accordance with the regulations; or the Minister may, in accordance with the regulations, issue to a person that is responsible for the covered facility a number of surplus credits that is determined in accordance with the regulations. Compensation For the purposes of paragraph (1)(a), the rate for each CO2e tonne must not exceed four compliance units or four times the excess emissions charge set out in column 2 of Schedule 4, for the calendar year in which the compliance period falls. Retirement of compliance units A compliance unit that is remitted under section 174, paragraph 178(1)(a) or subsection 181(2) or that is withdrawn under section 182 must not be used in any subsequent transaction and the Minister must ensure, in accordance with the regulations, that it is retired from circulation. Suspension or revocation of compliance units The Minister may, in accordance with the regulations, suspend or revoke compliance units. Voluntary cancellation of compliance units If the holder of an account in the tracking system referred to in section 185 requests, in accordance with the regulations, that a compliance unit in the account be cancelled, the Minister must cancel it. No indemnification A person is not entitled to be indemnified for a suspended, revoked or cancelled compliance unit. Issuance error or invalidity If the Minister determines that compliance units were issued in error or are no longer valid, the Minister may, in accordance with the regulations, require a person to remit the number of compliance units in question to the Minister or a person specified in the regulations in lieu of the Minister. If the Minister requires a person to remit compliance units, the person must do so by a deadline specified by the Minister. Payment in lieu In lieu of remitting compliance units, the person may make a payment to Her Majesty in right of Canada that is equal to the number of compliance units multiplied by the excess emissions charge set out in column 2 of Schedule 4, for the calendar year in which the Minister requires the person to remit the compliance units. Ministerial power If a covered facility emits greenhouse gases in excess of its emissions limit during a compliance period and compensation is not provided in full by the applicable deadline under section 174 or paragraph 178(1)(a), the Minister may, in accordance with the regulations, withdraw the balance owing in compliance units from any account in the tracking system referred to in section 185 that is linked to the covered facility. The monetary value of the compensation owed for each CO2e tonne emitted by a covered facility in excess of its emissions limit during a compliance period for which no compensation was provided by the applicable deadline under section 174 or paragraph 178(1)(a) and for which no withdrawals were made under section 182 constitutes a debt due to Her Majesty in right of Canada and may be recovered in any court of competent jurisdiction. No proceedings to recover the debt may be instituted more than five years after the day on which the debt becomes payable. Certificate The Minister may issue a certificate certifying the unpaid amount of any debt referred to in subsection 183(1). Registration in a court of competent jurisdiction of a certificate issued under subsection (1) has the same effect as a judgment of that court for a debt of the amount specified in the certificate and all related registration costs. Establishment and maintenance If at least one province or area is set out in Part 2 of Schedule 1, the Minister must establish and maintain a system that tracks the issuance by the Minister of compliance units; the transfer, retirement, suspension, revocation and cancellation of those compliance units; excess emissions charge payments made under section 174 or 178 and payments made under subsection 181(3); and any other transaction specified in the regulations. Accounts A person that is responsible for a covered facility must open and maintain in the tracking system any accounts required by the regulations. Any other person may open and maintain accounts in the system in accordance with the regulations. Ministerial powers The Minister may specify the time and manner for opening or closing an account, the information to be provided for those purposes and the conditions of use for accounts. Closing of accounts The Minister may, in accordance with the regulations, close an account. A person that is responsible for a covered facility or any other person that opens and maintains an account in the tracking system must keep and retain all records that are necessary to determine whether the person has complied with this Division. The Minister may specify the form a record is to take and any information that the record is to contain. A record must be kept and retained in Canada in accordance with the regulations and, unless otherwise authorized by the Minister, must be kept in English or in French. If a record is kept or retained in electronic form, the person that keeps the record must ensure that information in it is readable or perceivable so as to be usable for subsequent reference during the retention period required for the record. Records must be retained for a period of seven years after the end of the year to which they relate or for any other period specified in the regulations. If the Minister is of the opinion that it is necessary to do so, the Minister may, by registered letter or by a demand served personally, require a person referred to in subsection (1) to retain any records for a period that is specified by the Minister and the person must do so as required. The Minister may, in writing, authorize a person referred to in subsection (1) to dispose of any records before the end of the period during which they are required to be retained. Distribution — charge payments The Minister of National Revenue must distribute revenues from excess emissions charge payments that are made under section 174 or 178 in relation to covered facilities that are located in a province or area. The Minister of National Revenue may distribute the revenues to that province; persons that are specified in the regulations or that meet criteria set out in the regulations; or Distribution — subsection 181(3) payments The Minister of National Revenue may distribute revenues from payments that are made under subsection 181(3) to persons that are specified in the regulations or that meet criteria set out in the regulations. Amount The amount of any revenues to be distributed under subsection (1) or (2) is to be calculated in the manner determined by the Minister of National Revenue. Time and manner A distribution of revenues under subsection (1) or (2) is to be made, subject to the regulations, at the times and in the manner that the Minister of National Revenue considers appropriate and may, in accordance with the regulations, be made out of the Consolidated Revenue Fund. Amendments to Part 2 of Schedule 1 For the purpose of ensuring that the pricing of greenhouse gas emissions is applied broadly in Canada at levels that the Governor in Council considers appropriate, the Governor in Council may, by order, amend Part 2 of Schedule 1 by adding, deleting or amending the name of a province or the description of an area. In making an order under subsection (1), the Governor in Council shall take into account, as the primary factor, the stringency of provincial pricing mechanisms for greenhouse gas emissions. For greater certainty, an area referred to in subsection (1) may include a part of the exclusive economic zone of Canada or the continental shelf of Canada. Despite section 164.2 of the Canada–Newfoundland and Labrador Atlantic Accord Implementation and Offshore Renewable Energy Management Act, if the offshore area, as defined in section 2 of that Act, is mentioned in Part 2 of Schedule 1 to this Act, section 164.2 of that Act does not apply. Amendments to Schedule 3 The Governor in Council may, by order, amend Schedule 3 by adding a gas to column 1 and its global warming potential to column 2 or deleting a gas from column 1 and its global warming potential from column 2; and amending the global warming potential set out in column 2 for a gas set out in column 1. In making an order under subsection (1), the Governor in Council may take into account any factor that the Governor in Council considers appropriate, including any change in the reporting requirements under the United Nations Framework Convention on Climate Change, done in New York on May 9, 1992. Amendments to Schedule 4 The Governor in Council may, by order, amend Schedule 4 by adding a calendar year to column 1 and an excess emissions charge to column 2 for that year; and amending the excess emissions charge set out in column 2 for a calendar year set out in column 1. The Governor in Council may make regulations for the purposes of this Division, including regulations defining facility; respecting covered facilities, including the circumstances under which they cease to be covered facilities; allowing for the determination of the persons that are responsible for a facility or covered facility; respecting designations and cancellations of designations under section 172; respecting compliance periods and the associated regular-rate compensation deadlines and increased-rate compensation deadlines; respecting the reports and verifications referred to in section 173 and subsections 176(2) and 177(2); respecting greenhouse gas emissions limits referred to in sections 173 to 175, subsection 178(1), section 182 and subsection 183(1); respecting the quantification of greenhouse gases that are emitted by a facility; respecting the circumstances under which greenhouse gases are deemed to have been emitted by a facility; respecting the methods, including sampling methods, and equipment that are to be used to gather information on greenhouse gas emissions and activities related to those emissions; respecting the compensation referred to in sections 174 and 178; respecting compliance units, including transfers of compliance units, the circumstances under which transfers of compliance units are prohibited and the recognition of units or credits issued by a person other than the Minister as compliance units; respecting the tracking system referred to in section 185 and the accounts in that system; providing for user fees; respecting the rounding of numbers; respecting the retention of records referred to in section 187; and respecting the correction or updating of information that has been provided under this Division. Transitional measures The Governor in Council may make regulations respecting transitional matters related to the deletion of the name of a province or the description of an area from Part 2 of Schedule 1 or to circumstances in which a facility ceases to be a covered facility, including regulations respecting the application of this Division during a portion of a compliance period. An order made under section 189, 190 or 191 and a regulation made under section 192 or 193 may have effect earlier than the day on which it is made if it so provides and it gives effect to measures referred to in a notice published by the Minister. However, the order or regulation must not have effect before the day on which the notice is published. Statutory Instruments Act For greater certainty, a notice referred to subsection (1) is a regulation as defined in subsection 2(1) of the Statutory Instruments Act if, for the purpose of ensuring the early registration under section 171 of facilities as covered facilities, the notice sets out criteria respecting facilities and persons. Regulations — offset credit system The Governor in Council may make regulations establishing an offset credit system for projects that prevent greenhouse gases from being emitted or that remove greenhouse gases from the atmosphere, including regulations respecting the issuance by the Minister of offset credits to persons that are responsible for the projects; imposing requirements on those persons; respecting the registration and monitoring of the projects; respecting the keeping and retention of records; and providing for user fees. Delegation The Minister may delegate his or her powers, duties and functions under this Division, with the exception of the one set out in subsection 194(1), to any person. Purposes The Minister may exercise a power under this section for one or more of the following purposes: to assess the emission levels in Canada of greenhouse gases or other gases that contribute or could contribute to climate change; to determine whether measures to control those emissions are required and, if so, what measures are to be taken; and to ensure that information that is necessary for the purposes of Division 1 is gathered or provided to the Minister. Order The Minister may, by order, require any person that is described in the order to notify the Minister if, during a period specified in the order, the person is or was engaged in any activity related to gases specified in the order; to gather information on those gases, including information on a substance or product, including a fuel, that is related to those gases, and plans, specifications, studies and information in respect of any equipment, facility or activity that is related to those gases; to gather samples of those gases or any substance or product, including a fuel, that is related to those gases; to use specified methods and equipment to gather the information and samples or to quantify gas emissions; and to provide any information on those gases or to provide any samples referred to in paragraph (c) to the Minister. Other requirements The order may also require numbers to be rounded in accordance with a method specified in the order; require any information that must be provided to be verified by a third party in accordance with the order; require copies of any information that is provided — and any documents, calculations, measurements and other data on which the information is based — to be retained in a location specified in the order for a period specified in the order; require the updating, within a period specified in the order, of contact information for a person described in the order and any other information of an administrative nature that is specified in the order; and specify the form and manner in which information and samples are to be provided. Compliance with order A person that is described in the order must comply with the order within the time specified in the order. On request in writing from a person that is described in the order, the Minister may extend the time within which the person is required to comply with it. Regulations — information The Governor in Council may make regulations respecting the gathering of information on greenhouse gases or other gases that contribute or could contribute to climate change, on the emission of those gases and on activities related to those emissions and the provision of that information to the Minister, including regulations respecting the methods, including sampling methods, and equipment that are to be used to gather the information or to quantify gas emissions; respecting the verification of the information by third parties; respecting the correction or updating of any information that is provided under this Division; specifying the form and manner in which the information is to be provided. Regulations — samples The Governor in Council may make regulations respecting the gathering of samples of greenhouse gases or other gases that contribute or could contribute to climate change or of samples of any substance or product, including a fuel, that is related to those gases and the provision of those samples to the Minister, including regulations respecting the sampling methods and equipment that are to be used to gather the samples; and specifying the form and manner in which the samples are to be provided. If, within five years after the day on which a person provides information under this Division, the Minister is of the opinion that there is an error or omission in that information, the Minister may require the person to provide corrected information and may require the person to cause the corrected information to be verified by a third party. If the Minister requires a person to provide corrected information or to cause corrected information to be verified by a third party, the person must do so by a deadline specified by the Minister. The following definitions apply in this Division. conveyance includes any vehicle, ship or aircraft. (moyen de transport) dwelling-house has the meaning assigned by section 2 of the Criminal Code and includes, for greater certainty, living quarters on a platform anchored at sea. (maison d’habitation) place includes any platform anchored at sea or conveyance. (lieu) Designation The Minister may designate individuals or classes of individuals whom the Minister considers qualified as enforcement officers or analysts for the purposes of the administration and enforcement of this Part. Production of certificate of designation Every enforcement officer or analyst must be furnished with a certificate of designation as an enforcement officer or analyst, as the case may be, and on entering any place referred to in subsection 203(1) must, if so requested, produce the certificate to the person in charge of the place. Powers of enforcement officers For the purposes of this Part, enforcement officers have all the powers of a peace officer, but the Minister may specify limits on those powers when designating any individuals or class of individuals. Every power that may be exercised or every duty or function that may be performed by an enforcement officer or an analyst under this Part may be exercised or performed in the exclusive economic zone of Canada or in the waters above the continental shelf of Canada. Immunity No action or other proceeding of a civil nature may be brought against an enforcement officer or an analyst in respect of anything that is done or omitted to be done in good faith while exercising their powers or performing their duties or functions under this Part. Authority to enter An enforcement officer who has reasonable grounds to believe that anything to which this Part applies — including a book, record, piece of electronic data or other document — is located in a place or that an activity regulated by this Part is conducted in a place, may, for the purpose of verifying compliance with this Part, enter the place and require any individual to be present. Powers The enforcement officer may, for that purpose, examine anything that is found in the place; open and examine any receptacle or package found in the place; examine any books, records, electronic data or other documents and make copies of them or any part of them; take samples of anything to which this Part applies; conduct any tests or take any measurements; take photographs and make recordings or sketches; order the owner or person in charge of the place or a person at the place to establish their identity to the enforcement officer’s satisfaction; order the owner or person in charge of the place or a person in the place to stop or start an activity; use or cause to be used any computer system or means of communication at the place to examine any data contained in or available to the computer system or means of communication; cause a record to be produced from the data in the form of a printout or other intelligible output; reproduce any record or cause it to be reproduced; order the owner or a person having possession, care or control of anything in the place to not move it, or to restrict its movement; use or direct any person to operate or to cease to operate any system or equipment — including any system or equipment for measuring greenhouse gas emissions — in the place; take a printout or other output for examination or copying; use or cause to be used any copying equipment in the place to make copies of the record; and prohibit or limit access to all or part of the place. Disposition of samples An enforcement officer may dispose of a sample taken under paragraph (2)(d) in any manner that the enforcement officer considers appropriate. Analysts An enforcement officer who enters a place under subsection (1) may be accompanied by an analyst. The accompanying analyst may enter the place and exercise any of the powers referred to in paragraphs (2)(a) to (f) and may use any system or equipment — including any system or equipment for measuring greenhouse gas emissions — in the place. Stopping and detaining conveyances For the purpose of entering a place referred to in subsection (1) that is a conveyance, an enforcement officer may, at any reasonable time, direct that the conveyance be stopped — or be moved, by the route and in the manner that the enforcement officer may specify, to a place specified by the enforcement officer — and the enforcement officer may, for a reasonable time, detain the conveyance. Enforcement officer and analyst to receive accommodation An enforcement officer who travels to a platform anchored at sea for the purpose of entering it under subsection (1), and any analyst who accompanies the enforcement officer, must be carried to and from the platform free of charge and the person in charge of the platform must provide the enforcement officer and analyst with suitable accommodation and food free of charge. If a place referred to in subsection 203(1) is a dwelling-house, an enforcement officer may enter it without the occupant’s consent only under the authority of a warrant issued under subsection (2). Authority to issue warrant On ex parte application, a justice of the peace may issue a warrant authorizing an enforcement officer to enter a dwelling-house — and authorizing any other person named in the warrant to accompany the enforcement officer and to exercise any power referred to in section 203 that is specified in the warrant — if the justice is satisfied by information on oath that the dwelling-house is a place referred to in subsection 203(1); entry to the dwelling-house is necessary for a purpose related to verifying compliance with this Part; and entry was refused by the occupant or there are reasonable grounds to believe that entry will be refused by, or that consent to entry cannot be obtained from, the occupant. Conditions in warrant A warrant issued under this section may contain any conditions that the justice of the peace considers appropriate. Production of documents and samples For the purpose of verifying compliance with this Part, the Minister may, by registered letter or by a demand served personally, require any person to produce at a place specified by the Minister anything referred to in paragraph 203(2)(c) or any samples referred to in paragraph 203(2)(d) within any reasonable time and in any reasonable manner that may be stipulated in the letter or demand. Any person that is required to produce anything under subsection (1) must, despite any other law to the contrary, do so as required. Entry on private property While exercising powers or performing duties or functions under this Part, enforcement officers and analysts, and any persons accompanying them, may enter private property — other than a dwelling-house — and pass through it in order to gain entry to a place referred to in subsection 203(1). For greater certainty, they are not liable for doing so. Assistance If an enforcement officer or analyst enters a place referred to in subsection 203(1), the owner or person in charge of the place and every person found in it must give the enforcement officer or analyst all reasonable assistance to enable them to perform duties and functions under this Part; and provide the enforcement officer or analyst with any information that the enforcement officer or analyst may reasonably require for the purposes of this Part. False or misleading statements A person must not knowingly make any false or misleading statement, either orally or in writing, to an enforcement officer or analyst who is exercising powers or performing duties and functions under this Part. Obstruction A person must not obstruct or hinder an enforcement officer or analyst who is exercising powers or performing duties and functions under this Part. Custody of things seized Subject to subsections (2) and (3), if an enforcement officer seizes a thing under section 489 of the Criminal Code, sections 489.1 and 490 of the Criminal Code apply; and the enforcement officer, or any person that the officer may designate, must retain custody of the thing subject to any order made under section 490 of the Criminal Code. Forfeiture if ownership not ascertainable If the lawful ownership of or entitlement to the seized thing cannot be ascertained within 30 days after its seizure, the thing or any proceeds of its disposition are forfeited to Her Majesty in right of Canada. Abandonment The owner of the seized thing may abandon it to Her Majesty in right of Canada. Disposition by Minister Any thing that has been forfeited or abandoned under this Part is to be dealt with and disposed of as the Minister may direct. Liability for costs The lawful owner and any person lawfully entitled to possession of any thing seized, detained, forfeited or abandoned under this Part or under the Criminal Code and who has been found guilty of an offence under this Part in relation to that thing, are jointly and severally, or solidarily, liable for all the costs of entry to a place, seizure, detention, forfeiture, abandonment or disposition incurred by Her Majesty in excess of any proceeds of disposition of the thing that have been forfeited to Her Majesty under this Part or the Criminal Code. Jurisdiction of justices and judges A justice or judge in any territorial division in Canada has jurisdiction to exercise powers or perform duties or functions under this Part in relation to the exercise of powers or performance of duties or functions by an enforcement officer or analyst in the exclusive economic zone of Canada or the waters above the continental shelf of Canada. The following definitions apply in sections 215 to 223. Chief Review Officer[Repealed, 2026, c. 3, s. 544] Environmental Protection Tribunal of Canada means the Environmental Protection Tribunal of Canada established by subsection 243(1) of the Canadian Environmental Protection Act, 1999. (Tribunal de la protection de l’environnement du Canada) order means an order issued under section 215. (ordre) If an enforcement officer believes on reasonable grounds that there is or is likely to be a contravention of this Part, they may issue an order directing a person to stop doing something that is or is likely to be in contravention of this Part or cause it to be stopped; take any measure that is necessary in order to comply with this Part or to mitigate the effects of non-compliance; and take any other measure that the enforcement officer considers necessary to facilitate compliance with the order including maintaining records on any relevant matter, reporting periodically to the enforcement officer, and submitting to the enforcement officer any information, proposal or plan specified by the enforcement officer and setting out any action to be taken by the person with respect to the subject matter of the order. An order must be provided in the form of a written notice and must set out the name of each person to whom it is directed; the provision of this Part or the regulations that is alleged to have been or that is likely to be contravened; the relevant facts surrounding the alleged contravention; whatever it is to be stopped or the measures to be taken; the time or the day when each measure is to begin or the period during which it is to be carried out; subject to subsection (3), the duration of the order; a statement that a request for a review may be made to the Environmental Protection Tribunal of Canada; and the period within which a request for a review may be made. Duration of order The maximum duration of an order is 180 days. An order is not a statutory instrument for the purposes of the Statutory Instruments Act. Notice of intent An enforcement officer must, before issuing an order, provide an oral or a written notice of the intent of the enforcement officer to issue the order to every person to whom the order will be directed; and allow a reasonable opportunity in the circumstances for the person to make oral representations. Contents of notice of intent A notice of intent to issue an order must include a statement of the purpose of the notice; a reference to the statutory authority under which the order will be issued; the provision of this Part or the regulations that is alleged to have been or that is likely to be contravened; and a statement that the person to whom the order will be directed may make oral representations to the enforcement officer within the period stated in the notice. Compliance with the order A person to whom an order is directed must, on receipt of the order or a copy of it, comply with the order. No bar to proceedings The issuance of or compliance with an order in respect of a person’s alleged contravention of this Part or the regulations is not a bar to any proceedings against the person under this Part or under any other Act in relation to the alleged contravention. Intervention by enforcement officer If any person to whom an order is directed fails to take any measures specified in the order, an enforcement officer may take the measures or authorize a third party to take the measures. Access to property An enforcement officer or third party that is authorized to take measures under subsection (1) may enter and have access to any place or property, other than a dwelling-house, and may do any reasonable things that may be necessary in the circumstances. If a third party is authorized to take measures under subsection (1), no action or other proceeding of a civil nature may be brought against the third party in respect of any act or omission committed in good faith in taking those measures. Recovery of reasonable costs and expenses by Her Majesty Her Majesty in right of Canada may recover the costs and expenses of and incidental to taking any measures under subsection 218(1) from any person to whom the order is directed. Reasonably incurred The costs and expenses referred to in subsection (1) must only be recovered to the extent that they can be established to have been reasonably incurred in the circumstances. Liability If the order is directed to more than one person, they are jointly and severally, or solidarily, liable for the costs and expenses referred to in subsection (1). Procedure A claim under this section may be sued for and recovered by Her Majesty in right of Canada with costs in proceedings brought or taken in respect of the claim in the name of Her Majesty in right of Canada in any court of competent jurisdiction. Recourse or indemnity This section does not limit or restrict any right of recourse or indemnity that a person may have against any other person. If events giving rise to a claim under this section occur, no proceedings in respect of the claim may be instituted after five years from the date on which the events occur or came to the knowledge of the Minister, whichever is later. Minister’s certificate A document purporting to have been issued by the Minister certifying the day on which the events giving rise to a claim under this section came to the knowledge of the Minister must be received in evidence and, in the absence of any evidence to the contrary, the document must be considered as proof of that fact without proof of the signature or of the official character of the person appearing to have signed the document. Variation or cancellation of order At any time before the Environmental Protection Tribunal of Canada receives a notice requesting a review of an order, the enforcement officer may amend or suspend a condition of the order, or add condition to, or delete a condition from, the order; cancel the order; correct a clerical error in the order; or extend the duration of the order up to the maximum duration set out in subsection 215(3). The enforcement officer must, before exercising a power under paragraph (1)(a) or (d), provide an oral or a written notice of the intent of the enforcement officer to do so to every person to whom the order is directed; and A notice of intent to exercise a power under paragraph (1)(a) or (d) must include a reference to the statutory authority under which the power will be exercised; a statement that the person to whom the order is directed may make oral representations to the enforcement officer within the period stated in the notice. The Minister may make regulations respecting reporting under subparagraph 215(1)(c)(ii) and respecting representations made to enforcement officers under subsection 216(1) or 220(2). Request for review Any person to whom an order is directed may, by notice in writing given to the Environmental Protection Tribunal of Canada within 30 days after receipt by the person of the written order or a copy of it, make a request to the Environmental Protection Tribunal of Canada for a review of the order. Extension of period for request The Chairperson of the Environmental Protection Tribunal of Canada, or any member of the Tribunal that they may designate, may extend the period within which a request for a review may be made if, in their opinion, it is in the public interest to do so. Review of order Sections 257 to 264 and 266 to 271 of the Canadian Environmental Protection Act, 1999 apply, with any modifications that the circumstances require, to a review of any order. No action or other proceeding of a civil nature may be brought against a member of the Environmental Protection Tribunal of Canada in respect of anything that is done or omitted to be done in good faith in the exercise of their powers or the performance of their duties and functions under section 223. Voluntary reports If a person has knowledge of the commission or reasonable likelihood of the commission of an offence under this Part, but is not required to report the matter under this Part, the person may report any information relating to the offence or likely offence to an enforcement officer or any person to whom a report may be made under this Part. Request for confidentiality The person making the report may request that their identity, and any information that could reasonably be expected to reveal their identity, not be disclosed. Requirement for confidentiality A person must not disclose or cause to be disclosed the identity of a person who makes a request under subsection (2) or any information that could reasonably be expected to reveal their identity unless the person authorizes the disclosure in writing. Employee protection Despite any other Act of Parliament, an employer must not dismiss, suspend, demote, discipline, harass or otherwise disadvantage an employee, or deny an employee a benefit of employment, with the intent to retaliate against the employee because the employee has made a report under subsection (1); acting in good faith and on the basis of reasonable belief, refused or stated an intention of refusing to do anything that is an offence under this Part; or acting in good faith and on the basis of reasonable belief, done or stated an intention of doing anything that is required to be done by or under this Part. Application for investigation by Minister An individual who is resident in Canada and at least 18 years of age may apply to the Minister for an investigation of any offence under this Part that the individual alleges has occurred. Statement to accompany application The application must include a solemn affirmation or declaration stating the name and address of the applicant; stating that the applicant is at least 18 years old and a resident of Canada; stating the nature of the alleged offence and the name of each person alleged to be involved; and containing a concise statement of the evidence supporting the allegations of the applicant. Form The Minister may, by regulation, prescribe the form in which an application under this section is required to be made. Investigation by Minister The Minister must acknowledge receipt of the application within 20 days after the receipt and must investigate all matters that he or she considers necessary to determine the facts relating to the alleged offence. Progress reports Starting on the day on which the Minister acknowledges receipt of the application, he or she must report to the applicant every 90 days on the progress of the investigation and the action, if any, that the Minister has taken or proposes to take, and the Minister must include in the report an estimate of the time required to complete the investigation or to implement the action. A report is not however required if the investigation is discontinued before the end of the 90 days. Sending evidence to Attorney General of Canada At any stage of an investigation, the Minister may send any documents or other evidence to the Attorney General of Canada for consideration of whether an offence has been or is about to be committed under this Part and for any action that the Attorney General may wish to take. Discontinuation of investigation The Minister may discontinue an investigation if he or she is of the opinion that the alleged offence does not require further investigation; or the investigation does not substantiate the alleged offence. Report If an investigation is discontinued, the Minister must prepare a report in writing that describes the information obtained during the investigation and states the reasons for its discontinuation and he or she must send a copy of the report to the applicant and to any person whose conduct was investigated. A copy of the report that is sent to a person whose conduct was investigated must not disclose the name or address of the applicant or any other personal information about them. Injunctions If, on the application of the Minister, it appears to a court of competent jurisdiction that a person has done or is about to do or is likely to do any act or thing constituting or directed toward the commission of an offence under this Part, the court may issue an injunction ordering any person named in the application to refrain from doing any act or thing that it appears to the court may constitute or be directed toward the commission of an offence under this Part; or to do any act or thing that it appears to the court may prevent the commission of an offence under this Part. At least 48 hours before the injunction is issued, notice of the application must be served on persons named in the application, unless the urgency of the situation is such that the delay involved in serving the notice would not be in the public interest. Offences Every person commits an offence who contravenes section 208 or subsection 217(1) or 225(4); knowingly contravenes section 209; contravenes any provision of a regulation that is designated by regulations made under section 246; contravenes an order of a court made under this Part; knowingly, with respect to any matter related to this Part, provides any person with any false or misleading information or samples; knowingly, with respect to any matter related to this Part, files a document that contains false or misleading information; or knowingly, destroys, alters, mutilates, conceals or otherwise disposes of any records that are kept and retained under this Part. Penalty — individuals Every individual who commits an offence under subsection (1) is liable, on conviction on indictment, for a first offence, to a fine of not less than $15,000 and not more than $1,000,000 or to imprisonment for a term of not more than three years, or to both, and for a second or subsequent offence, to a fine of not less than $30,000 and not more than $2,000,000 or to imprisonment for a term of not more than three years, or to both; or on summary conviction, for a first offence, to a fine of not less than $5,000 and not more than $300,000 or to imprisonment for a term of not more than six months, or to both, and for a second or subsequent offence, to a fine of not less than $10,000 and not more than $600,000 or to imprisonment for a term of not more than six months, or to both. Penalty — other persons Every person, other than an individual or an organization referred to in subsection (4), that commits an offence under subsection (1) is liable, for a first offence, to a fine of not less than $500,000 and not more than $6,000,000, and for a second or subsequent offence, to a fine of not less than $1,000,000 and not more than $12,000,000; or for a first offence, to a fine of not less than $100,000 and not more than $4,000,000, and for a second or subsequent offence, to a fine of not less than $200,000 and not more than $8,000,000.

Penalty — small revenue organizations Every organization that commits an offence under subsection (1) and that the court determines under section 234 to be a small revenue organization is liable, for a first offence, to a fine of not less than $75,000 and not more than $4,000,000, and for a second or subsequent offence, to a fine of not less than $150,000 and not more than $8,000,000; or for a first offence, to a fine of not less than $25,000 and not more than $2,000,000, and for a second or subsequent offence, to a fine of not less than $50,000 and not more than $4,000,000. contravenes any provision of this Part, other than a provision the contravention of which is an offence under paragraph 232(1)(a); contravenes any provision of a regulation made under this Part, other than a provision the contravention of which is an offence under paragraph 232(1)(c); with respect to any matter related to this Part, provides any person with any false or misleading information or samples; or with respect to any matter related to this Part, files a document that contains false or misleading information. for a first offence, to a fine of not more than $100,000, and for a second or subsequent offence, to a fine of not more than $200,000; or for a first offence, to a fine of not more than $25,000, and for a second or subsequent offence, to a fine of not more than $50,000. Every person, other than an individual or a organization referred to in subsection (4), that commits an offence under subsection (1) is liable, for a first offence, to a fine of not more than $500,000, and for a second or subsequent offence, to a fine of not more than $1,000,000; or for a first offence, to a fine of not more than $250,000, and for a second or subsequent offence, to a fine of not more than $500,000. for a second or subsequent offence, to a fine of not more than $500,000; or for a first offence, to a fine of not more than $50,000, and for a second or subsequent offence, to a fine of not more than $100,000. Order — provision of compensation If a person is found guilty of contravening subsection 174(1) or paragraph 178(1)(a), the court must, in addition to any penalty that may be imposed under this section, order the offender to provide compensation, at the rates set out in subsection 174(4), for the excess emissions for which no compensation was provided and for which no compliance units were withdrawn. Determination of small revenue organization status For the purposes of sections 232 and 233, a court may determine an organization to be a small revenue organization if the court is satisfied that the organization’s gross revenues for the 12 months immediately before the day on which the subject matter of the proceedings arose — or, if it arose on more than one day, for the 12 months immediately before the first day on which the subject matter of the proceedings arose — were not more than $5,000,000. Relief from minimum fine The court may impose a fine that is less than the minimum amount provided for in subsection 232(2), (3) or (4) if it is satisfied, on the basis of evidence submitted to the court, that the minimum fine would cause undue financial hardship. The court must provide reasons if it imposes a fine that is less than the minimum amount provided for in any of those subsections. Deeming — second and subsequent offence For the purposes of subsections 232(2) to (4) and 233(2) to (4), a conviction for a particular offence under this Part is deemed to be a conviction for a second or subsequent offence if the court is satisfied that the offender has been previously convicted — under any Act of Parliament, or any Act of the legislature of a province, that relates to the control or pricing of greenhouse gas emissions — of a substantially similar offence. Application Subsection (1) applies only to previous convictions on indictment and to previous convictions on summary conviction, and to previous convictions under any similar procedure under any Act of the legislature of a province. Additional fine If a person is convicted of an offence and the court is satisfied that, as a result of the commission of the offence, the person acquired any property, benefit or advantage, the court must order the offender to pay an additional fine in an amount equal to the court’s estimation of the value of that property, benefit or advantage. The additional fine may exceed the maximum amount of any fine that may otherwise be imposed under this Part. Notice to shareholders If a corporation that has shareholders is convicted of an offence under this Part, the court must make an order directing the corporation to notify its shareholders, in the manner and within the time directed by the court, of the facts relating to the commission of the offence and of the details of the punishment imposed. No proceedings by way of summary conviction in respect of an offence under this Part may be instituted more than five years after the day on which the subject matter of the proceedings arose, unless the prosecutor and the defendant agree that they may be instituted after the five years. Offence for each tonne If the offence of contravening subsection 174(1) or paragraph 178(1)(a) is committed, the person that committed the offence is liable to be convicted for a separate offence for each CO2e tonne of a greenhouse gas that is emitted over the applicable emissions limit for which no compensation is provided by the increased-rate compensation deadline. The Governor in Council may, by regulation, prescribe the manner in which the proceeds or any part of the proceeds resulting from the payment of a fine or the execution of an order in relation to an offence under this Part must be distributed in order to reimburse any person, government or body that has commenced the proceedings in respect of the offence for costs incurred by that person, government or body in respect of the prosecution of the offence. Liability of senior officers If an organization commits an offence under this Part, a senior officer of the organization who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and guilty of the offence, and is liable on conviction to the penalty provided for by this Part for an individual in respect of the offence committed by the organization, whether or not the organization has been prosecuted. Definition of senior officer In this section, senior officer means a director, partner, employee, member, agent, mandatary or contractor who plays an important role in the establishment of an organization’s policies or is responsible for managing an important aspect of its activities and, in the case of a corporation, includes its chief executive officer and its chief financial officer. Proof of offence In any prosecution of an offence under this Part, other than an offence of contravening section 208 or subsection 225(4) or an offence under any of paragraphs 232(1)(b) and (e) to (g), it is sufficient proof of the offence to establish that it was committed by a director, partner, employee, member, agent, mandatary or contractor of the accused organization, whether or not they are identified or prosecuted for the offence. Defence A person must not be found guilty of an offence under this Part, other than an offence of contravening section 208 or subsection 225(4) or an offence under any of paragraphs 232(1)(b) and (e) to (g), if the person establishes that they exercised all due diligence to prevent its commission. Certificate of analyst Subject to subsections (2) and (3), a certificate of an analyst that states the result of an analysis or examination and includes any related statement is admissible in evidence in any prosecution for an offence under this Part and, in the absence of evidence to the contrary, is proof of the statements contained in the certificate without proof of the signature or the official character of the person appearing to have signed the certificate. Attendance of analyst The party against whom a certificate of an analyst is produced may, with leave of the court, require the attendance of the analyst for the purposes of cross-examination. A certificate of an analyst must not be received in evidence unless the party intending to produce it has given to the party against whom it is intended to be produced reasonable notice of that intention together with a copy of the certificate. The Governor in Council may, by regulation, designate provisions of regulations made under this Part for the purposes of paragraph 232(1)(c). Fundamental purpose The fundamental purpose of sentencing for offences under this Part is to contribute — in light of the risks posed by climate change to the environment, including its biological diversity, to human health and safety and to economic prosperity — to respect for laws related to the pricing of greenhouse gas emissions through the imposition of just sanctions that have as their objectives the deterrence of the offender and any other person from committing offences under this Part; the denunciation of the unlawful conduct; and the reinforcement of the “polluter pays” principle. Principles In addition to the principles and factors that the court is otherwise required to consider, including those set out in sections 718.1 to 718.21 of the Criminal Code, the court must consider the following principles when sentencing a person that is convicted of an offence under this Part: the amount of the fine should be increased to account for every aggravating factor associated with the offence, including the aggravating factors set out in subsection (2); and the amount of the fine should reflect the gravity of each aggravating factor associated with the offence. Aggravating factors The aggravating factors are the following: the offender committed the offence intentionally or recklessly; the offender failed to take reasonable steps to prevent the commission of the offence despite having the financial means to do so; by committing the offence or failing to take action to prevent its commission, the offender increased revenue or decreased costs or intended to increase revenue or decrease costs; the offender committed the offence despite having been warned by an enforcement officer of the circumstances that subsequently became the subject of the offence; the offender has a history of non-compliance with federal or provincial legislation that relates to the control or pricing of greenhouse gas emissions; and after the commission of the offence, the offender attempted to conceal its commission, failed to take prompt action to prevent, mitigate or remediate its effects, or failed to take prompt action to reduce the risk of committing similar offences in the future. Absence of aggravating factor The absence of an aggravating factor set out in subsection (2) is not a mitigating factor. Reasons If the court is satisfied of the existence of one or more of the aggravating factors set out in subsection (2) but decides not to increase the amount of the fine because of that factor, the court must give reasons for that decision. Orders of court If an offender has been convicted of an offence under this Part, in addition to any other punishment that may be imposed under this Part, the court may, having regard to the nature of the offence and the circumstances surrounding its commission, make an order having any or all of the following effects: prohibiting the offender from doing any act or engaging in any activity that may result in the continuation or repetition of the offence; directing the offender to implement a greenhouse gas emissions control or reduction system that meets a recognized Canadian or international standard; directing the offender to have an audit conducted by a person of a class and at the times specified by the court and directing the offender to remedy any deficiencies revealed during the audit; directing the offender to pay to Her Majesty in right of Canada an amount of money that the court considers appropriate for the purpose of promoting the control or reduction of greenhouse gas emissions or mitigating the effects of climate change caused by those emissions; directing the offender to publish, in the manner specified by the court, the facts relating to the commission of the offence and the details of the punishment imposed, including any orders made under this subsection; directing the offender to notify, at the offender’s own cost and in the manner specified by the court, any person aggrieved or affected by the offender’s conduct of the facts relating to the commission of the offence and of the details of the punishment imposed, including any orders made under this subsection; directing the offender to post any bond or pay any amount of money into court that will ensure compliance with any order made under this section; directing the offender to submit to the Minister, on application by the Minister made within three years after the date of conviction, any information with respect to the offender’s activities that the court considers appropriate and just in the circumstances; directing the offender to compensate any person, monetarily or otherwise, in whole or in part, for the cost of any remedial or preventive action taken, caused to be taken or to be taken as a result of the act or omission that constituted the offence, including costs of assessing appropriate remedial or preventive action; directing the offender to perform community service, subject to any reasonable conditions that may be imposed in the order; directing the offender to pay, in the manner prescribed by the court, an amount for the purpose of conducting research into climate change; directing the offender to pay, in the manner prescribed by the court, an amount to groups concerned with climate change — including groups concerned with the effects of climate change on the Indigenous peoples of Canada and on northern, coastal or remote communities — to assist in their work; directing the offender to pay, in the manner prescribed by the court, an amount to an educational institution including for scholarships for students enrolled in studies related to climate change; requiring the offender to comply with any other conditions that the court considers appropriate in the circumstances for securing the offender’s good conduct and for deterring the offender and any other person from committing offences under this Part; requiring the offender to remit compliance units to the Minister or any other person; and prohibiting the offender from entering into transactions involving compliance units during any period that the court considers appropriate. Publication If an offender fails to comply with an order made under paragraph (1)(e), the Minister may, in the manner that the court directed the offender to do so, publish the facts relating to the commission of the offence and the details of the punishment imposed and recover the costs of publication from the offender. Debt due to Her Majesty If the court makes an order under paragraph (1)(d) or (i) directing an offender to pay an amount to Her Majesty in right of Canada, or if the Minister incurs publication costs under subsection (2), the amount or the costs, as the case may be, constitute a debt due to Her Majesty in right of Canada and may be recovered in any court of competent jurisdiction. Enforcement If the court makes an order under subsection (1) directing an offender to pay an amount to a person other than to Her Majesty in right of Canada and the amount is not paid without delay, the person may, by filing the order, enter as a judgment, in the superior court of the province in which the trial was held, the amount ordered to be paid, and that judgment is enforceable against the offender in the same manner as if it were a judgment rendered against the offender in that court in civil proceedings. If the court makes an order under paragraph (1)(o), any compliance unit that is remitted to the Minister in accordance with the order is retired from circulation. Coming into force and duration An order made under subsection (1) comes into force on the day on which it is made or on any other day that the court may determine and must not continue in force for more than three years after that day unless the court provides otherwise in the order. Suspended sentence If a person is convicted of an offence and the court suspends the passing of sentence under paragraph 731(1)(a) of the Criminal Code, the court may, in addition to any probation order made under that Act, make an order containing one or more of the prohibitions, directions or requirements referred to in subsection 249(1). Imposition of sentence If the person does not comply with the order or is convicted of another offence within three years after the order is made, the court may, on the application of the prosecution, impose any sentence that could have been imposed if the passing of sentence had not been suspended. Application of fines Subject to regulations made under section 241, all fines received by the Receiver General in respect of the commission of an offence under this Part or any amount received in accordance with an order under paragraph 249(1)(d) are to be credited to the Environmental Damages Fund, an account in the accounts of Canada, and used for purposes related to protecting, conserving or restoring the environment or for administering that Fund. For greater certainty For greater certainty, purposes related to protecting, conserving or restoring the environment include promoting the control or reduction of greenhouse gas emissions. Recommendations of court A court imposing a fine may recommend to the Minister that all or a portion of the fine credited to the Environmental Damages Fund be paid to a person or an organization, including any entity that represents the interests of one or more of the Indigenous peoples of Canada, specified by the court for a purpose referred to in subsection (1). Publication of information about contraventions For the purpose of encouraging compliance with this Part, the Minister must keep, in a registry accessible to the public, information about all convictions of organizations for offences under this Part. Information in the registry is to be kept for a minimum of five years. Negotiation of agreement The Minister may negotiate an agreement respecting the administration and enforcement of this Part with any person, any government in Canada, the government of a foreign state or a political subdivision of a foreign state, any international organization or any institution of a government or an international organization. Publication of final agreement The Minister must publish an agreement made under subsection (1), or give notice of its availability, in the Canada Gazette and in any other manner that the Minister considers appropriate. Action not limited by agreement An agreement made under this section must not limit or restrict the carrying out of any action the Minister deems necessary for the administration and enforcement of this Part, including the conduct of inspections or investigations. A person that provides information to the Minister under this Part may submit with the information a written request, with supporting justifications, that the information be treated as confidential for one or more of the following reasons: the information constitutes a trade secret; the disclosure of the information would likely cause material financial loss to, or prejudice to the competitive position of, the person; or the disclosure of the information would likely interfere with contractual or other negotiations being conducted by the person. Additional justification The Minister may, after studying the reasons provided under section 254, require the person in question to provide in writing, within a period specified by the Minister, additional justification for the request for confidentiality. Minister’s decision In determining whether to accept or reject the request, the Minister must consider whether the reasons are well-founded and, if they are, the Minister may nevertheless reject the request if the Minister considers that the public interest in the disclosure of the information outweighs in importance any material financial loss or prejudice to the competitive position of the person that provided the information. Acceptance of request If the Minister accepts the request, he or she must not disclose the information unless the disclosure is made with the written consent of the person that made the request; is made to the Canada Revenue Agency; is made to the Minister of Finance for the purpose of developing policy related to the pricing of greenhouse gas emissions; is necessary for the purposes of the administration or enforcement of this Part; or is made under an agreement or arrangement between the Government of Canada or any of its institutions and any other government in Canada, the government of a foreign state or a political subdivision of a foreign state, or an international organization or any of its institutions, or between the Minister and any other minister of the Crown in right of Canada, in which the government, international organization, institution or other minister undertakes to keep the information confidential. Rejection of request If the Minister rejects the request, the person has the right to ask the Federal Court to review the matter within 30 days after the day on which the person is notified that the request has been rejected or within any further time that the Court may, before the expiry of those 30 days, fix; and the Minister must advise the person of the rejection, of the Minister’s intention to disclose the information and of the person’s right to ask the Federal Court to review the matter. Applicable provisions If the person asks the Federal Court to review a matter under paragraph (4)(a), sections 45 to 47 of the Access to Information Act apply, with any modifications that the circumstances require, in respect of a request for a review under that paragraph as if it were an application made under section 44 of that Act. The Governor in Council may make regulations specifying the information to be provided in a request for confidentiality. Variation For greater certainty, regulations made under this Part may distinguish among any province or area and among any class of persons, equipment, facilities, activities or greenhouse gas emission sources, including fuels. The limitation set out in paragraph 18.‍1(2)‍(a) of the Statutory Instruments Act, to the effect that a document must be incorporated as it exists on a particular date, does not apply to any power to make regulations under this Part. Regulations not mandatory The following provisions apply in the absence of any regulations referred to in those provisions: subsections 172(1) and (3); sections 175 and 179; subsection 180(2); section 182; subsection 187(3); and subsections 188(1), (2) and (4). For greater certainty, an excess emissions charge is not a fee as defined in subsection 2(1) of the Service Fees Act. Review The Minister must undertake a review of sections 232 to 252 each time the Minister undertakes a review under section 294.5 of the Canadian Environmental Protection Act, 1999. Report to Parliament The Minister must, no later than one year after the day on which the review is undertaken, cause a report on the review to be tabled in each House of Parliament. federal land means land that belongs to Her Majesty in right of Canada, or that Her Majesty in right of Canada has the power to dispose of, and all waters on and airspace above that land. (territoire domanial) federal work or undertaking means any work or undertaking that is within the legislative authority of Parliament, including a work or undertaking operated for or in connection with navigation and shipping, whether inland or maritime, including the operation of ships and transportation by ship; a railway, canal, telegraph or other work or undertaking connecting one province with another, or extending beyond the limits of a province; a line of ships connecting a province with any other province, or extending beyond the limits of a province; a ferry between any province and any other province or between any province and any country other than Canada; airports, aircraft and commercial air services; a broadcast undertaking; a work or undertaking that, although wholly situated within a province, is before or after its completion declared by Parliament to be for the general advantage of Canada or for the advantage of two or more provinces; and a work or undertaking outside the exclusive legislative authority of the legislatures of the provinces. (entreprises fédérales) Indigenous land means a reserve and any other land that is set apart for the use and benefit of a band under the Indian Act, and all waters on and airspace above that reserve or land; and land that is subject to a comprehensive or specific claim agreement, or a self-government agreement, between the Government of Canada and an Indigenous people of Canada, and all waters on and airspace above that land, with respect to which title remains with Her Majesty in right of Canada. (terres autochtones) provincial law means an Act of the legislature of a province that relates to the control or pricing of greenhouse gas emissions and any regulations made under that Act. (texte législatif d’une province) The Governor in Council may, by regulation, made on the recommendation of the Minister of the Environment, provide that a provincial law applies to a federal work or undertaking that is located in that province; federal land or any part of that land that is located in that province; Indigenous land or any part of that land that is located in that province; any part of the internal waters of Canada that is located in or contiguous with that province; or any part of the territorial sea of Canada, the exclusive economic zone of Canada or the continental shelf of Canada that is contiguous with that province. Subsection (1) does not apply to any provision of a provincial law that imposes a tax. For greater certainty, this section must not be interpreted as providing a basis for any claim, by or on behalf of a province, in respect of any interest in or legislative jurisdiction over any offshore area to which a provincial law is applied under this section or the living or non-living resources of that area, or as limiting the application of any federal laws. The Statutory Instruments Act does not apply to any instrument made by a provincial official or body under the authority of a provincial law that is incorporated by reference in a regulation made under subsection 263(1). For greater certainty, the Service Fees Act does not apply to any fee, charge or levy that is fixed under a provincial law that is incorporated by reference in a regulation made under subsection 263(1). Federal Courts Act A provincial official or body that exercises a power or performs a duty or function under a regulation made under subsection 263(1) is not a federal board, commission or other tribunal for the purposes of the Federal Courts Act. Review or appeal in provincial courts Unless otherwise provided by a regulation made under subsection 263(1), if a power is conferred or a duty or function is imposed by a provincial law that is incorporated by reference in the regulation, the exercise of the power or the performance of the duty or function is subject to review by, or appeal to, the courts of the province in the same manner and to the same extent as if the laws of that province applied. For greater certainty, an individual who exercises a power or performs a duty or function under a regulation made under subsection 263(1) may do so in the exclusive economic zone of Canada or in waters above the continental shelf of Canada. Amounts collected Payments collected by a provincial official or body under a regulation made under subsection 263(1) belong to Her Majesty in right of the province and are not public money for the purposes of the Financial Administration Act. Liability for acts and omissions In respect of any act or omission occurring in the exercise of a power or the performance of a duty or function under a regulation made under subsection 263(1), Her Majesty in right of Canada is entitled to the same limits on liability, defences and immunities as those that would apply to Her Majesty in right of the province in question when Her Majesty in right of that province exercises such a power or performs such a duty or function under the law that applies in that province; and any person or body exercising the power or performing the duty or function is entitled to the same limits on liability, defences and immunities as those that would apply to a person or body when the person or body exercises such a power or performs such a duty or function under the law that applies in that province in question. Annual report Starting in the year in which the second anniversary of the day on which this section comes into force falls and each calendar year after that, the Minister of the Environment must prepare a report on the administration of this Act and have a copy of the report tabled in each House of Parliament. Ontario New Brunswick Manitoba Saskatchewan Alberta Yukon Nunavut [Repealed, SOR/2020-261, s. 2] [Repealed, SOR/2020-261, s. 3] [Repealed, SOR/2020-261, s. 4] Subsection (1) applies in respect of payments made after 2023. Part 1 of the Act is repealed. Part 1 of Schedule 1 to the Act is repealed. Schedule 2 to the Act is repealed.